(navigation image)
Home American Libraries | Canadian Libraries | Universal Library | Community Texts | Project Gutenberg | Children's Library | Biodiversity Heritage Library | Additional Collections
Search: Advanced Search
Anonymous User (login or join us)
Upload
See other formats

Full text of "North Carolina Register v.2 no. 11 (2/15/1988)"

I ^ 23. KRJ/ 743 4/ fl a/ ^7 



r^ 



FEB 18 i9 88 



NORTH CAROLINA 

REGISTER 



IN THIS ISSUE 



EXECUTIVE ORDERS 

FINAL DECISION LETTERS 

PROPOSED RULES 
Administration 
Community Colleges 
Governor 
Human Resources 
Licensing Boards 
NRCD 

FINAL RULES 
Correction 
Human Resources 
Revenue 

Secretary of State 
Transportation 



LIST OF RULES AFFECTED 



ISSUE DATE: FEBRUARY 1 5, 1 988 
Volume 2 • Issue 1 1 • Pages 8 1 9-950 



INFORMATION ABOUT THE NORTH CAROLINA REGISTER AND ADMINISTRATIVE CODE 



NORTH CAROLINA REGISTER 

The North Carolina Register is published monthly and 
contains information relating to agency, executive, 
legislative and judicial actions required by or affecting 
Chapter 150B of the General Statutes. All proposed, ad- 
ministrative rules and amendments filed under Chapter 
150B must be published in the Register. The Register 
will typically comprise approximately one hundred 
pages per issue of legal text. 

State law requires that a copy of each issue be pro- 
vided free of charge to each county in the state and to 
various state officials and institutions. The North 
Carolina Register is available by yearly subscription at 
a cost of ninety-five dollars (S95.00) for 12 issues. 

Requests for subscriptions to the North Carolina 
Register should be directed to the Office of Ad- 
ministrative Hearings, P. 0. Drawer 1 1666, Raleigh, N. 
C. 27604, Attn: Subscriptions. 

ADOPTION, AMENDMENT, AND REPEAL OF 
RULES 

An agency intending to adopt, amend, or repeal a rule 
must first publish notice of the proposed action in the 
North Carolina Register. The notice must include the 
time and place of the public hearing; a statement of how 
public comments may be submitted to the agency either 
at the hearing or otherwise; the text of the proposed 
rule or amendment; a reference to the Statutory 
Authority for the action and the proposed effective date. 

The Director of the Office of Administrative Hearings 
has authority to publish a summary, rather than the 
full text, of any amendment which is considered to be 
too lengthy. In such case, the full text of the rule con- 
taining the proposed amendment will be available for 
public inspection at the Rules Division of the Office of 
Administrative Hearings and at the office of the pro- 
mulgating agency. 

Unless a specific statute provides otherwise, at least 
30 days must elapse following publication of the pro- 
posal in the North Carolina Register before the agency 
may conduct the required public hearing and take ac- 
tion on the proposed adoption, amendment or repeal. 

When final action is taken, the promulgating agency 
must file any adopted or amended rule for approval by 
the Administrative Rules Review Commission. Upon ap- 
proval of ARRC, the adopted or amended rule must be 
filed with the Office of Administrative Hearings. If it 
differs substantially from the proposed form published 
as part of the public notice, upon request by the agen- 
cy, the adopted version will again be published in the 
North Carolina Register. 

A rule, or amended rule cannot become effective 
earlier than the first day of the second calendar month 
after the adoption is filed with the Office of Ad- 
ministrative Hearings for publication in the NCAC. 

Proposed action on rules may be withdrawn by the 
promulgating agency at any time before final action is 
taken by the agency. 

TEMPORARY RULES 

Under certain conditions of an emergency nature, 
some agencies may issue temporary rules. A temporary 
rule becomes effective when adopted and remains in 



effect for the period specified in the rule or 180 days, 
whichever is less. An agency adopting a temporary rule 
must begin normal rule-making procedures on the per- 
manent rule at the same time the temporary rule is 
adopted. 

NORTH CAROLINA ADMINISTRATIVE CODE 

The North Carolina Administrative Code (NCAC) is 
a compilation and index of the administrative rules of 
25 state agencies and 38 occupational licensing boards. 
The NCAC comprises approximately 15,000 letter size, 
single spaced pages of material of which approximate- 
ly 35% is changed annually. Compilation and publica- 
tion of the NCAC is mandated by G.S. 150B-63(b). 

The Code is divided into Titles and Chapters. Each 
state agency is assigned a separate title which is fur- 
ther broken down by chapters. Title 21 is designated 
for occupational licensing boards. 

The NCAC is available in two formats. 

(1) Single pages may be obtained at a minimum 
cost of two dollars and 50 cents ($2.50) for 10 
pages or less, plus fifteen cents ($0.15) per each 
additional page. 

(2) The full publication consists of 52 volumes, 
totaling in excess of 15,000 pages. It is sup 
plemented monthly with replacement pages. A 
one year subscription to the full publication in- 
cluding supplements can be purchased for 
seven hundred and fifty dollars ($750.00). In 
dividual volumes may also be purchased with 
supplement service. Renewal subscriptions for 
supplements to the initial publication available 

Requests for pages of rules or volumes of the NCAC 
should be directed to the Office of Administrative 
Hearings. 

NOTE 

The foregoing is a generalized statement of the pro 
cedures to be followed. For specific statutory language, 
it is suggested that Articles 2 and 5 of Chapter 150B of 
the General Statutes be examined carefully. 

CITATION TO THE NORTH CAROLINA 
REGISTER 

The North Carolina Register is cited by volume, issue 
page number and date. 1:1 NCR 101-201, April 1, 198( 

refers to Volume 1, Issue 1, pages 101 through 201 o 
the North Carolina Register issued on April 1, 1986. 



North Carolina Register. Published monthly by 
the Office of Administrative Hearings, P.O. 
Drawer 1 1666, Raleigh, North Carolina 27604, pur- 
suant to Chapter 150B of the General Statutes. 
Subscriptions ninety-five dollars ($95.00) per year. 
North Carolina Administrative Code. Published 
in looseleaf notebooks with supplement service by 
the Office of Administrative Hearings, P.O. 
Drawer 1 1666, Raleigh, North Carolina 27604, pur- 
suant to Chapter 150B of the General Satutes. 
Subscriptions seven hundred and fifty dollars 
($750.00). Individual volumes available. 



ISSUE CONTENTS 



NORTH 
CAROLINA 
REGISTER 




\ 



Office of Administrative Hearings 

P. O. Drawer 11666 

Raleigh, XC 27604 

(919) 733 - 2678 



Robert A. Melott, 

Director 
James R. Scarcella, Sr. 

Deputy Director 
Molly Mason, 

Assistant Director 

Staff: 

Ruby Creech, 

Publications Coordinator 
Teresa Johnson, 

Editorial A ssistant 
Jean Shirley, 

Editorial Assistant 



EXECUTIVE ORDERS 

Executive Orders 63-66 819 



II. FINAL DECISION LETTERS 

Voting Rights Act 822 



III. PROPOSED RILES 
Administration 

N.C. Low-Level Radioactive 

Waste Management 

Authority 825 

Community Colleges 

Community Colleges 91 1 

Office of the Governor 
State Budget and 

Management 828 

Human Resources 

facility Services 841 

Medical Services 876 

Mental Health, Mental 

Retardation and 

Substance Abuse 874 

Licensing Boards 

General Contractors 906 

Mortuary Science 910 

NRCD 

Environmental Management 876 

IV. FINAL RULES 

Correction 

Division of Prisons 924 

Human Resources 

N.C. Drug Commission 924 

Revenue 

Sales and Use Tax 924 

Intangible Tax 930 

Secretary of State 

Securities Division 931 

Transportation 

Division of Highways 936 

Division of Motor Vehicles 937 

V. LIST OF Rl LES AFFECTED 

January 1, 1988 939 

February 1, 1988 942 

VI. CUMULATIVE INDEX 947 



NORTH CAROLINA REGISTER 

Publication Deadlines and Schedules 
(March /OSS - March 19S9) 



Issue 


last Day 


last Day 


Larliest 


♦ 


Date 


tor 


for 


Date for 


Earliest 




1-iling 


Electronic 


Public 


Effective 






Eiling 


Hearing and 
Adoption by 
Agency 


Date 


******** 


**+***** 


*♦****+* 


******** 


******** 


03 15 SS 


02 24 SS 


03,02/88 


04/14/88 


07/01/88 


04 04 8S 


03 11 88 


03/18/88 


05/04/88 


08/01,88 


(14 15 SS 


03 25-88 


04,01-88 


05/15/88 


08/01/88 


05 02 8S 


04 11 88 


04,18 88 


06/01/88 


09/01/88 


05 16/88 


04 27 88 


05/03/88 


06/15/88 


09/01/88 


06 01 SS 


05 10/88 


05/17/88 


07/01/88 


10/01/88 


06 15 SS 


05 26/88 


06 02 88 


07/15/88 


10/01 '88 


07 (11 SS 


06 10 88 


06,17/88 


07/31/88 


1 1 01 88 


07 15 SS 


06 24 88 


07/01 88 


08/14/88 


11,01/88 


08 01 8S 


07 11 SS 


07/18 88 


08/31/88 


12/01 88 


08 15 SS 


07 26 88 


08/02/88 


09/14/88 


12,01/88 


09 01 SS 


OS 11 SS 


08,18 88 


10/01/88 


01/01/89 


09 15 88 


08 26 88 


09/02/88 


10/15/88 


01/01/89 


10 03/88 


09 12 SS 


09/19 88 


11/02/88 


02,01/89 


10 14 88 


09 26/88 


10/03 88 


11/13/88 


02/01/89 


11 01 88 


10 11 88 


10/18/88 


12/01/88 


03/01/89 


11 15 88 


10/26; 88 


11,02/88 


12/15/88 


03/01/89 


12/01/88 


11/07/88 


11/15/88 


12/31/88 


04/01/89 


12 15 88 


1 1 23 88 


12 02 88 


01/14/89 


04/01/89 


01 02-89 


12 08/88 


12/15,88 


02/01/89 


05,01/89 


01 '16/89 


12 27/88 


01/03,89 


02/15/89 


05/01/89 


02/01/89 


01 10 89 


01/17/89 


03/03/89 


06/01/89 


02/15/89 


01 26 '89 


02/02/89 


03/17/89 


06/01/89 


03 01 89 


02 08,89 


02/15/89 


03/31/89 


07/01/89 


03 15/89 


02/21/89 


03.02 89 


04/14/89 


07/01/89 



* The "Earliest Effective Dale" is computed assuming that the public hearing 
and adoption occur in the calendar month immediately following the "Issue 
Date", that the agency files the rule with The Administrative Rules Review 
Commission bv the 20th of the same calendar month and that ARRC approves 
the rule at the next calendar month meeting. 



EXECUTIVE ORDER 



EXECUTIVE ORDER NUMBER 63 
STATE ASBESTOS STUDY COMMISSION 

It has come to my attention that the presence 
of asbestos in certain forms in buildings may be 
hurtful to the building's occupants and that there 
may be asbestos present in these forms in some 
of the State's buildings. 

It has also come to my attention that before 
undertaking to learn whether and to what extent 
hurtful asbestos is present in the more than ten 
thousand buildings owned by the State, it is de- 
sirable for a study to be made of the costs and 
related benefits to be had from such an assay 
being made. 

With the foregoing in mind it is ORDERED^ 



1. There is hereby created a State Asbestos 
Study Commission composed of seven persons, 
two of whom shall be designated by the Gover- 
nor and one each by the Lieutenant Governor, 
the Speaker of the House of Representatives, the 
Secretary of the Department of Administration, 
the Secretary of the Department of Human Re- 
sources and the Superintendent of Public In- 
struction. The Chairman of the Commission 
shall be designated by the Governor from among 
its members. 

2. The purpose of the Commission shall be (i) 
to study the cost of and related benefits to be had 
from assaying the State's buildings to learn 
whether and to what extent asbestos in hurtful 
forms may be present in the buildings and (ii) to 
make recommendations as to how the State 
should respond to what is learned from the study. 
The Commission shall prepare a written report 
of its study and submit the same to the Governor 
along with its recommendations. 

3. The Commission shall begin its work im- 
mediately and make its report to the Governor 
not later than April 30, 1988. 

4. All State Departments and agencies shall 
cooperate fully and promptly with the Commis- 
sion in its work to the end that its work may be 
completed within the allotted time. 

5. The Division of Policy and Planning shall 
assign one or more members of its staff to assist 
the Commission in its work, as reasonably may 
be requested by the Commission. 



6. Members of the Commission who are not 
employees of the State shall be reimbursed for 
their reasonable travel and subsistence expenses 
as allowed by N.C.G.S. §138-5. Reimbursement 
for such expenses shall be paid from appropri- 
ations to the Department of Administration. 
The reasonable expenses of the Commission in 
addition to those allowed by N.C.G.S. §138-5 
shall also be paid from appropriations to the 
Department of Administration. 

Done at Raleigh, North Carolina, this 29th day 
of January, 1988. 

EXECUTIVE ORDER NUMBER 64 

EXTENSION OF GOVERNOR'S COUNCIL ON 

ALCOHOL AND DRUG ABUSE AMONG 

CHILDREN AND YOUTH 

The Governor's Council on Alcohol and Drug 
Abuse Among Children and Youth was estab- 
lished by Executive Order Number 2i on Janu- 
ary 29, 1986. 

Pursuant to N.C.G.S. 147-16.2 this Commis- 
sion is to expire on January 29, 1988. 

By the authority vested in me as Governor by 
the Constitution and laws of North Carolina, IT 
IS ORDERED: 

The Governor's Council on Alcohol and Drug 
Abuse Among Children and Youth established 
through Executive Order Number 23 on January 
29, 1986 is hereby extended through January 29, 
1991. 

Done in Raleigh, North Carolina this the 29th 
day, of January, 1988. 

EXECUTIVE ORDER NUMBER 65 

NORTH CAROLINA STATE DEFENSE MILITIA 

WHEREAS, the North Carolina National 
Guard has the mission of responding to the call 
of the Governor in time of emergency to execute 
the law and secure the safety of persons and 
property, suppress riots or insurrections, repel 
invasions or provide disaster relief; and 

WHEREAS, the potential exists for the Na- 
tional Guard to be absent from the State in time 
of need because of a national mobilization or 
other federal requirements; and 



NORTH CAROLINA REGISTER 



,SI9 



EXECUTIVE ORDER 



Will Rl AS. the North Carolina National 
(juard. at the direction of the United States 
Congress, is assuming a more critical role in this 
nation's defense, as a crucial partner in the armed 
forces and could be mobilized on very short no- 
tice; and 

WHEREAS, the North Carolina General Stat- 
utes confer upon the Governor the responsibility 
and authority to enlist and direct the assistance 
of a State Defense Militia to provide for the 
common defense and protection of the lives and 
property of the people of this State, during the 
absence from the State of the National Guard; 

NOW, ! Ill Rl FORI;. IT IS ORDERED: 

Section F 

Pursuant to Article 5 of Chapter 127 A of the 
General Statutes, I hereby establish and organize 
the North Carolina State Defense Militia. The 
purpose of this Militia is to assume the State 
functions of the North Carolina National Guard, 
in its absence. 



EXECUTIVE ORDER NUMBER 66 

STATE EMPLOYEES COMBINED CAMPAIGN 

WHEREAS, there is a need to promote and 
encourage State employees to contribute to non 
partisan charitable organizations; and 

WHEREAS, there is a need to allow State em- 
ployees the opportunity to contribute to non 
partisan charitable organizations in an orderly 
and uniform manner; and 

WHEREAS, there is a need to establish uni- 
form policies and procedures to assure partic- 
ipating organizations are of a non partisan 
charitable status; and 

WHEREAS, it is the policy of the State to 
support the State Employees Combined Cam- 
paign as codified in N.C.G.S. 143-3.3 allowing 
State payroll deductions for combined campaign 
contributions. 



Section 2_ 

The North Carolina State Defense Militia is es- 
tablished within the Department of Crime Con- 
trol and Public Safety. The Militia shall be 
responsible to and subject to the direction and 
supervision of the Adjutant General of the North 
Carolina National Guard. I hereby delegate to 
the Secretary of Crime Control and Public Safety 
the authority to prescribe rules and regulations 
concerning the North Carolina State Defense 
Militia in accordance with N.C.G.S. 127A-80(c). 

Section T 

The Commander of the State Defense Militia 
shall be appointed by the Secretary of the De- 
partment of Crime Control and Public Safety to 
the rank of General Officer of the North Carolina 
State Defense Militia and shall serve at the plea- 
sure of the Secretary. All officers and soldiers 
shall be appointed in accordance with the rules 
and regulations established under Section 2 
above and shall serve at the pleasure of the Sec- 
retary of Crime Control and Public Safety. 

Section 4_ 

This order is effective immediately, and shall 
remain in effect until rescinded by further execu- 
tive order or other law. The provisions of 
N.C.G.S. 147-16.2 shall not apply to this Execu- 
tive Order. 

Done in the Capital City of Raleigh, North 
Carolina, this the 29th das of January, 19S8. 



NOW. THEREFORE, IT IS HEREBY 
ORDERED: 



Section J_ 

There is established the State Employees Com- 
bined Campaign, hereinafter referred to as the 
Combined Campaign, within the Department of 
Administration. The Governor at the beginning 
of each calendar year shall appoint a State Com- 
bined Campaign Director. The Director or the 
Director's designee shall serve as Chairman of the 
Combined Campaign. The Chairman shall ad- 
minister, pursuant to rules promulgated by the 
State Employees Advisor)' Committee, the 
Combined Campaign for that year. 

Section 2. 

There is established the State Employees Advi- 
sory Committee hereinafter referred to as Com- 
mittee. The Committee shall be composed of 
ten (10) members from state government ap- 
pointed by the Director of the Combined Cam- 
paign. The terms of membership shall be 
staggered so that the terms of approximately 
one-third of the members shall expire in a single 
calendar year. After the first three years, each 
appointment shall be for a term of three years. 
The Director of the Combined Campaign or the 
Director's designee shall serve as Chairman of the 
Committee. 

Section 3. 



820 



SORTH CAROLINA REGISTER 



EXECUTIVE ORDER 



A vacancy occurring on the Committee during 
a term of appointment is tilled in the same man- 
ner as the original appointment and for the bal- 
ance of the unexpired term. 

Section 4. 

The Advisory Committee shall meet as neces- 
sary 7 and any time at the call of the Chairman to 
conduct the business of each year's Combined 
Campaign. 

Section 5_ 

The Committee shall have the following duties: 

1. Recommend overall policy for the Com- 
bined Campaign to the Governor, the 
Campaign Director and necessary state 
agencies; 

2. Adopt rules and procedures as necessary for 

the proper administration of the Com- 
bined Campaign by majority vote; 

3. Establish criteria for acceptance which or- 

ganisations must meet to be accepted as 
participants by majority vote; 

4. Serve as a central application point for all 

charitable organizations applying to par- 
ticipate in the Combined Campaign; 



5. Review and evaluate organization's appli- 
cations to assure compliance with accept- 
ance criteria. 

Section 6. 

The Department of Administration shall pro- 
vide the administrative support for the Advisory 
Committee. 

Section 7. 

All State agencies and personnel are directed to 
cooperate fully with State Employees Combined 
Campaign in order to insure a successful annual 
campaign. This cooperation shall include full 
implementation of all approved combined cam- 
paign activities. 

Section 8. 

All prior 1 xecutive Orders or portions of prior 
Executive Orders inconsistent herewith are 
hereby repealed. 

Section 9. 

This Order shall become effective immediately. 
It shall remain in effect until January 1990 unless 
amended by further Executive Order. 

Done January 29, 1988. 



NORTH CAROLINA REGISTER 



S21 



VOTISG RIGHTS ACT FINAL DECISION LETTERS 



/G.S. 120-30.911, effective July lb, I9S6, requires that all letters and other documents issued by the 
Attorney General oj the United Slates in which a final decision is made concerning a "change af- 
fecting voting" under Section 5 of the Voting Rights Act of J 965 be published in the Sorth Carolina 
Register. 1 



U.S. Department of Justice 
Civil Rights Division 

\VBR:RJW:RAK:gmh 

DJ 166-012-3 Voting Section 

S5571-5572 P.O. Box 66128 

S7257-7259 Washington, D.C. 20035-6125 

Michael Crowell. I sq. 
Tharrineton. Smith and IIargro\e 
P.O. Box 1151 
Raleigh, North Carolina 27602 

Dear Mr. Crowell: 

"Inis refers to North Carolina Session I aws Chapter 549 (1987), Sections 1.1 through 6, which 
provide for the change in method of election from at large to single-member districts, a districting 
plan, an implementation schedule, a temporary eighth seat, and vacancy provisions for the board of 
education in Martin County. North Carolina, submitted to the Attorney General pursuant to Section 
5 of the Voting Rights Act of 1965. as amended, 42 L'.S.C. 1973c. We received the information to 
complete your submission on November 3. 1987. 

The Attorney General does not interpose any objections to the changes in question. However, 
we feel a responsibility to point out that Section 5 of the Voting Rights Act expressly provides that 
the failure of the Attorney General to object does not bar any subsequent judicial action to enjoin 
the enforcement of such changes. See the Procedures for the Administration of Section 5 (28 C.F.R. 
51.41). 

Sincerely, 

Wm. Bradford Reynolds 
Assistant Attorney General 
Civil Rights Division 

Bv: 



Gerald W. Jones 
Chief, Voting Section 



822 \OR TH CAROLINA REGIS TER 



VOTING RIGHTS ACT FINAL DECISION LETTERS 



Office of the Assistant Attorney General 



U.S. Department of Justice 
Civil Rights Division 
Washington, DC. 20530 



Michael Crowell, Esq. 
Tharrinttfon, Smith and Hargrove 
P. 0. Box 1151 
Raleigh, North Carolina 27602 

Dear Mr. Crowell: 

This refers to Chapter 432 of the 1987 North Carolina Session laws which changes the method 
of electing the Board of Commissioners from at large with residency districts to six single-member 
districts and three at-large positions; the districting plan; the increase in the number of commissioners 
from six to nine; and the implementation schedule for Pitt County, North Carolina, submitted to the 
Attorney General pursuant to Section 5 of the Voting Rights Act of 1965, as amended, 42 U.S.C. 
1973c. We received your submission on July 29, 1987. On October 19 and 26, 1987, we received 
information in response to our September 28, 1987, request for additional information and on No- 
vember 9, 1987, we received information further supplementing your submission. Although we 
noted your request for expedited consideration, we have been unable to respond until this time. 

To obtain preclearance under Section 5, a submitting authority must demonstrate that the voting 
changes arc nondiscriminatory in both purpose and effect. See Georgia v. United States, 41 1 U.S. 
526 (1973), and the Procedures for the Administration of Section 5 (28 C.F.R. 51.52). 

As tc the effect of the proposed method of election, our analysis shows that it would offer a 
greater opportunity for black political participation than the existing plan does. Thus, the Board of 
Commissioners has met its burden of showing that the proposed plan would not have a retrogressive 
effect. Beer v. United States, 425 U.S. 130, 141 (1976). 

In addressing the issue of purpose, however, we note in particular the course of dealings that led 
to the increase by three in the si/e of the Board and the at-large method of election chosen for filling 
those positions. Pertinent to our review was consideration of the strong opposition of the black 
community to the election method selected and the Board's rejection of possible compromises. For 
example, one such alternative, proposed by the Board in May 26, 1987, and passed by the state 
House of Representatives on May 27, appeared largely to meet the Board's stated nonracial reasons 
for wanting to include three at-large seats. Nevertheless, without notice to the public the Board met 
in a private session on June 1, 1987, and voted to abandon the compromise bill ostensibly because 
the black community did not accept the compromise. However, this does not appear to be sup- 
ported by information, such as that contained in contemporaneous newspaper articles that the Board 
submitted, indicating that, as of June 1, black organizations either had indicated their support for the 
compromise or had indicated they were considering supporting it. Yet, the Board's abrupt with- 
drawal from the compromise bill ruled out further negotiations on the matter and, instead, the Board 
unilaterally returned to a plan which seems calculated to minimize minority voting strength. 

In view of these circumstances, we are unable to conclude that the Board has met its burden of 
showing nondiscriminatory purpose in the adoption of this feature in its proposed election plan. 
Therefore, on behalf of the Attorney General, I must object to the proposed method of election. 

Of course, as provided by Section 5 of the Voting Rights Act, you have the right to seek a de- 
claratory judgment from the United States District Court for the District of Columbia that these 
changes have neither the purpose nor will have the effect of denying or abridging the right to vote 
on account of race or color. In addition, Section 51.45 of the guidelines permits you to request that 
the Attorney General reconsider the objection. However, until the objection is withdrawn or a 
judgment from the District of Columbia Court is obtained, the effect of the objection by the Attor- 
ney General is to make Chapter 432 legally unenforceable. 28 C.F.R. 51.10. 



NORTH CAROLINA REGISTER 



823 



VOTING RIGHTS ACT FINAL DECISION LETTERS 



To enable this Department to meet its responsibility to enforce the Voting Rights Act, please 
inform us of the course of action Pitt County plans to take with respect to this matter. If you have 
any questions, feel free to call Sandra S. Coleman (202-724-6718), Director of the Section 5 Unit of 
the Voting Section. 



Sincerely, 



Wm. Bradford Reynolds 
Assistant Attorney General 
Civil Rights Division 



,S24 NORTH CAROLINA REGISTER 



PROPOSED RULES 



TITLE I DEPARTMENT OF 
ADMINISTRATION 

IS otice is hereby given in accordance with G.S. 
I SOB- 12 that the Low- Level Radioactive Waste 
Management Authority intends to adopt regu- 
lations cited as 1 NCAC 37 .0101 - .01 

1 he proposed effective date of this action is 
August 1, 198S. 

1 he public hearings will be conducted at the 
following locations: 

1) Charlotte, NC: 

March 21, 1988 at 7:00 p.m. 
Environmental Protection 
Commission A udilorium 
1200 Blythe Boulevard 

2) Wilmington, NC: 

March 21. 1988 at 7:00 p.m. 
Courtroom 317 

iXew Hanover County Judicial Building 
Fourth and Princess Streets 

3) Asheville. NC: 

March 22, 19SS at 7:00 p.m. 

Room 302 

Owen Conference Center 

U.N.C. Asheville 

1 University Heights 

4) Winston-Salem, NC: 
March 22, 19S8 at 7:00 p.m. 
Room G 

Convention Center 
301 West Fifth Street 

5) Raleigh, NC: 

March 23, 1988 at 7:00 p.m. 
Hearing Room. Archda/e Building 
State Government Complex 
5/2 North Salisbury Street 

\sOmment Procedures: Any interested person 
may present written comments for consideration 
by the Authority. Fhe hearing record will re- 
main open for receipt of comments from Feb- 
ruary 15, 1988 through March 30, 1088. 
Comments should be addressed to: 

Victoria L. \'oight 
Low-Level Radioactive Waste 

Management A uthontv 
Room 209, Commerce Building 



19 West Hargett Street 
Raleigh, NC 27601 

Any person may present oral comments at the 
hearing. Requests to speak should be presented 
in writing to Ms. Voight at the above address 
no later than March 13, 1988. Additional 
comments may be allowed by the Authority by 
sign up at the public hearing as time allows. 
All presentations will be limited to 5 minutes. 
A fiscal note covering these rules has been pre- 
pared by the Authority and may be obtained by 
written request addressed to Ms. Voight at the 
address above. A draft justification document 
has been prepared by the Authority in accord- 
ance with G.S. 104G-9(b) and may be obtained 
by written request addressed to Ms. Voight at 
the address above. 

CHAPTER 37 - N.C. LOW-LEVEL 

RADIOACTIVE WASTE MANAGEMENT 

AUTHORITY 

SECTION .0100 - GENERAL INFORMATION 

.0101 PURPOSE 

The purpose of the Low-Level Radioactive 
Waste Management Authority is to site, de- 
sign, finance, build, lease or operate, oversee, 
monitor, and close a facility or facilities for the 
permanent disposal of low-level radioactive 
waste in accordance with G.S. 104G and 42 
USC 2021 et seq. 

Statutory Authority G.S. 104G-6: 150B-I1. 

.0102 DEFINITIONS 

(a) The definitions contained in G.S. 104G-2 
and 10 NCAC 37 .3302 apply to Rules con- 
tained in this Chapter. 

(b) As used in this Chapter "facility" means 
a low-level radioactive waste disposal facility 
as defined in G.S. 104G-2(7). 

(c) As used in Section .0200 the term 
"proximity" means a location that could in- 
volve an impact, either positive or negative, or 
beneficial or detrimental. 

Statutory Authority G.S. 104G-6; 150B-I1. 

.0103 MAILING LIST 

The Authority maintains mailing lists for its 
rulemaking and public meeting activities. In- 
dividuals wishing to be notified of these activ- 
ities should send a letter to: 

Low-Level Radioactive Waste 

Management Authority 

Mailing List 



NORTH CAROLINA REGISTER 



825 



PROPOSED RULES 



Suite 209 Commerce Building 
19 W. Hargett Street 
Raleigh, NC 27601 

stating the particular activity or activities for 
which notice is requested and the name, ad- 
dress and phone number of requester. A fee 
may be charged to cover the actual cost of 
providing this notice. 



Statutory 
150B-11. 



Authority G.S. 104G-6; 143-318.12; 



(1) those factors set out in G.S. 
104G-9(b)(2); 

(2) potential for future growth and develop- 
ment in close proximity to the site; 

(3) detriment to drinking water wells; 

(4) detriment to springs; 

(5) detriment to sole source aquifers; and 

(6) detriment to public drinking water sup- 
plies. 



Statutory Authority G.S. 
104G-9; 150B-I1. 



104G-6(a)(2); 



SECTION .0200 - SITE SELECTION 
CRITERIA 

.0201 INTRODUCTION 

The Rules contained in this Section set forth 
the criteria which the Authority will consider 
in selecting a site for the location of a low-level 
radioactive waste disposal facility. In selecting 
this site the Authority must comply with the 
siting criteria set forth in 10 NCAC 3G .3328 
and G.S. 104G. The Rules contained in this 
Section set forth additional criteria to be con- 
sidered by the Authority in evaluating and se- 
lecting a site for the facility in accordance with 
G.S. 104G. The written justification for the 
criteria contained in these Rules is available 
from the Authority at the mailing address set 
out in 1 NCAC 37 .0103. 



Statutory Authority 
104G-9; 150B-I1. 



.0202 



G.S. I04G-6(a)(2); 



AND GEOLOGICAL 



IIYDROI OGICAL 
FACTORS 

In evaluating and selecting a site for the low- 
level radioactive waste disposal facility, the 
Authority shall consider hydrological and geo- 
logical factors including: 

(1) those factors set out in G.S. 
104G-9(b)(l); 

(2) drainage in and around the site; 

(3) potential for soil erosion; 

(4) stream density; 

(5) topography; and 

(6) rainfall patterns. 

Statutory Authority G.S. 104G-6(a); 104G-9; 
150B-II. 

.020.1 ENVIRONMENTAL AND IM BLIC 
HEAL III I ACTORS 

In selecting a site for a low-level radioactive 
waste disposal facility the Authority shall con- 
sider environmental and public health factors 
including: 



.0204 NATURAL AND CULTURAL 
RESOURCES 

In selecting a site for a low-level radioactive 
waste disposal facility, the Authority shall 
consider natural and cultural resources includ- 
ing: 

(1) those factors set forth in G.S. 
104G-9(b)(3); 

(2) proximity to natural resources such as 
water, oil, coal, or other resources; 

(3) proximity to breeding grounds, nuturing 
areas or special habitats for rare, threat- 
ened, or endangered species of animals or 
plants; 

(4) proximity to scenic areas; 

(5) proximity to national, state, local, or 
commercial parks or recreational facilities; 
and 

(6) proximity to areas that are meaningful to 
people because of historic, cultural, reli- 
gious, ethnic, or racial heritage such as 
national, state, or local monuments, In- 
dian burial grounds, national, state, or lo- 
cal historic sites, churches, and cemeteries. 



Statutory A uthority 
104G-9; 150B-11. 



G.S. 104G-6(a)(2); 



.0205 LOCAL LAND USES 

In selecting a site for a low-level radioactive 
waste disposal facility, the Authority shall 
consider local land uses including: 

(1) proximity of activities which involve 
pumping large amounts of water, quarry 
blasting, or use of conflicting sources of 
radioactivity; 

(2) use of state or federally owned sites; and 

(3) use of large land holdings by utilities or 
other industries. 

Statutory Authority G.S. 104G-6(a)(2); 
104G-9; 150B-11. 

.0206 TRANSPORTATION 



H26 



iXORTH CAROLINA REGISTER 



PROPOSED RULES 



In selecting a site for a low-level radioactive 
waste disposal facility, the Authority shall 
consider transportation factors including: 

(1) those factors set forth in G.S. 
104G-9(b)(5); and 

(2) proximity to major highways. 



Statutory Authority 
104G-9; 150B-11. 



G.S. l04G-6(a)(2); 



.0207 AESTHETIC FACTORS 

In selecting a site for a low-level radioactive 
waste disposal facility, the Authority shall 
consider asthetic factors including those factors 
set forth in G.S. 104G-9(b)(6). 



Statutory Authority 
104G-9; 150B-11. 



G.S. 104G-6(a)(2); 



county manager, the mayor of any munici- 
pality within the area and anyone requesting a 
copy of the notice in accordance with the pro- 
cedure set out in 1 \CAC 37 .0103. Notice 
of the public meeting shall be published at 
least 15 days in advance of the meeting. The 
notice shall include: the date, time and place 
of the meeting; topics to be addressed at the 
meeting; and the manner in which public 
comment will be accepted. 

(d) The purpose of the meeting is to explain 
the reasons for the identification of the area as 
suitable, to explain the next step in the site se- 
lection process and to receive and consider 
public comment concerning the suitability of 
the area for selection as a site for the facility in 
accordance with the criteria set forth in 1 
NCAC 37 .0200. 



SECTION .0300 - SITE SELECTION 
PROCEDURE 

.0301 GENERAL 

The site selection procedure is outlined in 
G.S. 104G-9. Additional procedures relating 
to the site selection process are contained in 
the Rules in this Section. 



Statutory Authority 
104G-9; 150B-11. 



G.S. l04G-6(a)(2); 



.0302 IDENTIFICATION OF SUITABLE 
AREAS 

(a) The Authority shall identify areas that 
may be suitable in accordance with G.S. 
104G-9(c) and the procedures contained in this 
Rule. 

(b) The identification shall be made based 
upon technical siting criteria including geolog- 
ical formation, water flow patterns, land use, 
and location of population centers and shall 
use readily available data. 

Statutory Authority G.S. l04G-6(a)(2); 
I04G-9; I50B-1I. 

.0303 PUBLIC MEETINGS 

(a) The Authority shall conduct public in- 
formation meetings in the manner specified 
below. 

(b) The Authority shall conduct at least one 
public meeting in each region in which a suit- 
able area has been identified. 

(c) Notice of the meetings shall be published 
in a newspaper of general circulation in the 
area and shall be sent to the chairman of the 
county commissioners, the county public 
health director, the chairman of the council of 
any municipality located within the areas the 



Statutory Authority G.S. l04G-6(a)(2); 
104G-9; 150B-I1. 

.0304 SELECTION OF SITES 

(a) The Authority shall select 2 or 3 suitable 
sites in accordance with G.S. 104G-9(e) and 
the procedures contained in this Rule. 

(b) In making these selections, the Authority 
shall evaluate the areas identified in 1 NCAC 
37 .0302 using the criteria set out in 1 NCAC 
37 .0200, with special attention to social, eco- 
nomic, and environmental factors. 

(c) Information considered during the se- 
lection process shall include public comment, 
review of federal, state, and local records, and 
studies conducted by the Authority or others. 

(d) Public comment shall include informa- 
tion received at public meetings, information 
provided by community advisory groups, in- 
formation provided by local government rep- 
resentatives, or information provided by other 
individuals or groups. 

(e) The Authority shall conduct at least one 
public meeting in each area where a suitable 
site has been selected. 

(f) In making these selections, the Authority 
shall actively seek suitable communities inter- 
ested in hosting the facility and shall provide 
information to the communities concerning: 

( 1 ) the opportunities for involvement in the 
site selection process through the site 
designation review committees, the 
preferred site local advisor,' committees, 
and through the local government ad- 
visory process; 

(2) the means available to minimize risk to 
health, safety, and the environment; and 

(3) the economic incentives available to the 
host including reimbursement for lost 



tXORTH CAROLINA REGISTER 



827 



PROPOSED RULES 



land values, income available from the 
trust fund, and authorized taxes or fees. 



Statutory Authority 
I04G-9; 150B-1I. 



G.S. 104G-6(a)(2); 



.0305 SITE DESIGNATION REVIEW 
COMMITTEE 

(a) The Authority shall seleet two or three 
sites that are suitable for the location of a fa- 
eility in aeeordanee with 1 NCAC 37 .0304. 
Notice of this selection shall be provided to the 
county manager, chairman of the county 
commissioners and public health director of 
any county in which a site has been selected; 
the city manager and the chairman of the mu- 
nicipal council of any municipality in which a 
site has been identified; and any person who 
has requested notice in accordance with 1 
NCAC 37 .0103. 

(b) The Authority shall request that the 
county commissioners appoint a site desig- 
nation review committee in accordance with 
G.S. 104G-19. 

(c) The Authority shall present to the site 
designation review committee all data relating 
to the selection of the site in their county, shall 
provide the committee with data concerning 
the economic incentives related to the location 
of a facility within the county, and shall receive 
and consider comments from the committee 
as may be transmitted by the county board of 
commissioners concerning the suitability of the 
site for the location of a facility in accordance 
with the criteria set forth in 1 NCAC 37 .0200. 



Statutory A uthority 

104G-9; 150B-1I. 



G.S. 104G-6(a)(2); 



.0306 I'KEI -'ERRED SITE 

(a) The Authority shall select a preferred site 
in accordance with G.S. 104G-20 and the pro- 
cedures contained in this Rule. 

(b) The site shall be selected in accordance 
with the criteria set out in ! NCAC 37 .0200. 

(c) Information considered during the se- 
lection process shall include information pro- 
vided by the site designation review 
committees and may include additional infor- 
mation which the Authority deems appropri- 
ate. 

(d) In making this selection, the Authority 
shall actively seek a suitable community, from 
among the 2 or 3 sites selected, interested in 
hosting the facility and shall provide informa- 
tion concerning: 

( 1 ) the opportunities for involvement in the 
decision-making process regarding the 



construction and operation of the facil- 
ity; 

(2) information regarding the facility oper- 
ator and the proposed technology; and 

(3) economic incentives available to the 
host including reimbursement for lost 
land values, lost revenues, income 
available from the trust fund, and au- 
thorized taxes or fees. 



Statutory Authority 
I04G-9; I50B-II. 



G.S. 104G-6(a)(2); 



.0307 PREFERRED SITE LOCAL ADVISORY 
COMMITTEE 

(a) Upon selection of a preferred site, the 
Authority shall notify the county commission- 
ers in the county in which the site is located 
and request the establishment of a preferred 
site local advisory committee in accordance 
with G.S. 104G-20. 

(b) The Authority shall provide the preferred 
site local advisory committee with all informa- 
tion requested concerning the facility including 
license and permit applications, compensation 
available to the local government, and envi- 
ronmental and socioeconomic impact of the 
proposed facility. 

(c) The Authority shall consider all infor- 
mation provided by the preferred site local ad- 
visory committee in its negotiations with any 
local government in accordance with G.S. 
104G-21. 



Statutory Authority 
104G-9; 150B-11. 



G.S. 104G-6(a)(2); 



TITLE 9 - OFFICE OF THE GOVERNOR 
AND LIEUTENANT GOVERNOR 



I V otice is hereby given in accordance with G.S. 
I SOB- 12 that the Office of State Budget and 
Management intends to adopt regulations cited 



as 9 NCAC 3L .0101 


.0102, 


.0201 - 


.0205. 


.0301 - .0304. .0401 - 


.0403. 


.0501 - 


.0505, 


.0601 - .0606, .0701 - 


.0704, 


.0801 - 


.0803, 


.0901 - .0904, .1001 - 


.1002, 


.1101 - 


.1102, 


.1201. 









1 he proposed effecth-e date of this action is 
August I, 1988. 

1 he public hearing will be conducted at 2:00 
p.m. on March 22. 1988 at Archdale Building, 
5/2 North Salisbury Street, Raleigh, NC 
27611, Hearing Room - Ground Floor. 



S2S 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



Co 



ommenl Procedures: Any person or organ- 
ization desiring to make oral comments at the 
hearing should register to do so at the hearing. 
Statements will be limited to 5 minutes and one 
type-written copy of any such statement should 
be submitted to the panel conducting the hear- 
ing. Any additional comments on the proposed 
rules should be forwarded to Aleta Mills, Office 
of State Budget and Management, 116 West 
Jones Street, Raleigh, NC 27603-8005. The 
Record of Hearing will be open for receipt of 
written comments until 5:00 p.m. March 31, 
J9SS. A fiscal note has been prepared and is 
available upon request from Aleta Mills at the 
above address. 

CHAPTER 3 - STATE BUDGET AND 
MANAGEMENT 

SUBCHAPTER 3L - STATE CLEAN WATER 
REVOLVING LOAN AND GRANT PROGRAM 

SECTION .0100 - GENERAL PROVISIONS 

.0101 PURPOSE 

Loans and grants for wastewater treatment 
systems, wastewater collection systems and 
water supply systems from the various ac- 
counts in the North Carolina Clean Water 
Revolving Loan and Grant Fund established 
by G.S. 159G, except the Water Pollution 
Control Revolving Fund established by G.S. 
159G-5(C), shall be made in accordance with 
this Subchapter. 

Statutory Authority G.S. 159G-/5. 

.0102 DEFINITIONS 

In addition to the definitions in G.S. 159G-3, 
the following definitions will apply to this 
Subchapter: 

(1) "Act" means the North Carolina Clean 
Water Revolving Foan and Grant Act of 
1987, G.S. 159G. 

(2) "Award" means the offer by the receiv- 
ing agency to enter into a loan or grant 
commitment for a specified amount. 

(3) "Award of contract" means the award 
by the loan or grant recipient to a con- 
tractor of a contract to construct the pro- 
ject as bid. 

(4) "Bid" means the amount of money for 
which a contractor offers to construct the 
project. 

(5) "Contingency costs" means unforeseen 
costs or situations not included in the es- 
timate of project costs. 



(6) "Commitment" means a binding agree- 
ment to pay loan or grant funds in a lump 
sum or in installments to an eligible ap- 
plicant at some future time. 

(7) "Date of completion" means the date 
on which the project has been completed, 
as determined by the receiving agency. 

(8) "Division of Fnvironmental Manage- 
ment" means the Division of Environ- 
mental Management of the North Caro- 
lina Department of Natural Resources 
and Community Development. 

(9) "Effective date of receipt" means Sep- 
tember 30 for applications postmarked or 
hand delivered to the principal offices of 
the receiving agency in Raleigh, North 
Carolina between April 1 and September 
30, and means March 31 for applications 
postmarked or hand delivered to the 
principal offices of the receiving agency in 
Raleigh, North Carolina between October 
1 and March 31; except that for applica- 
tions to the Emergency Wastewater or 
Water Supply Revolving Loan Account 
it means the date designated by the re- 
ceiving agency for each priority review 
period established under Rule .0801(b) of 
this Subchapter. 

( 10) "Fiscal year" means the state fiscal year, 
beginning on July 1 of a calendar year and 
ending on June 30 of the following calen- 
dar year. In referring to a specific fiscal 
year, the year named is the calendar year 
in which the fiscal year ends. For exam- 
ple, "Fiscal Year 1988" refers to the fiscal 
year beginning July 1, 1987 and ending 
June 30, 1988. 

(11) "Inspection" means inspection or in- 
spections of a project to determine per- 
centage completion of the project and 
compliance with applicable federal, state 
and local laws or rules. 

(12) "Orders" means any restrictive measure, 
related to the operation of its wastewater 
treatment facilities, issued to an applicant 
for a loan or grant from the wastewater 
accounts under this Subchapter. Such 
measures may be included in, but are not 
restricted to, Special Orders, Special Or- 
ders by Consent, Judicial Orders, or issued 
or proposed permits, permit modifications 
or certificates. 

(13) "Project" means the works described in 
the application for a loan or grant under 
this Subchapter. 

(14) "Loan" means "revolving loan" as de- 
fined in G.S. 159G-3(15). 



NORTH CAROLINA REGISTER 



829 



PROPOSED RULES 



(15) "Priority period" means priority review 
period as established in Section .0800 of 
this Subchapter. 

(16) "Public necessity" means that a need 
exists to construct a new wastewater 
treatment works, wastewater collection 
system or water supply system, or to im- 
prove or expand existing facilities, in order 
to: 

(a) promote the public health, safety and 
welfare; 

(b) provide adequate services to a substan- 
tial portion of the residents within the 
service area or projected service area of 
a unit of government who are presently 
without such services; or 

(c) alleviate a critical public health hazard 
or critical water pollution problem. 

(17) "Real property" means land and struc- 
tures affixed to the land having the nature 
of real property or interests in land in- 
cluding easements or other rights-of-way 
purchased or acquired for water supply 
and wastewater facilities and works to be 
constructed as a part of the project for 
which a loan or grant is made under this 
Subchapter. 

(18) "Regional water supply system" means 
a public water supply system of a muni- 
cipality, county, sanitary district, or other 
political subdivision of the state or com- 
bination thereof which provides, is in- 
tended to provide, or is capable of 
providing an adequate and safe supply of 
water to a substantial portion of the pop- 
ulation within a county, or to a substan- 
tial water service area in a region 
composed of all or parts of two or more 
counties, or to a metropolitan area in two 
or more counties. 

Statutory Authority G.S. 159G-3; J59G-/5. 

SECTION .0200 - ELIGIBILITY 
REQUIREMENTS 

.0201 ELIGIBLE PROJECT COSTS 

(a) Project costs eligible for a loan or grant 
under this Subchapter are limited to; 

(1) the actual costs of the works described 
in the project application; 

(2) interest costs during construction; and 

(3) contingency costs, not to exceed ten 
percent of the estimated eligible con- 
struction costs for which a loan or grant 
award is made under this Subchapter. 



Upon receipt of bids, the contingency costs 
shall be reduced to not more than five percent 
of the actual eligible construction costs as bid. 
(b) Eligible costs do not include recurring 
annual expenditures for administration, re- 
pairs, or operation and maintenance of any 
wastewater treatment works, wastewater col- 
lection system or water supply system projects. 
Items not covered or allowed in the definition 
of "construction costs" in G.S. 159G-3(4) are 
also excluded. 

Statutory Authority G.S. 159G-3(4); 159G-15. 

.0202 GRANTS FROM THE HIGH-UNIT 
COST ACCOUNTS 

(a) liligibility of an application for a grant 
from the High-Unit Cost Wastewater Account 
or the High- Unit Cost Water Supply Account, 
and the amount eligible for such a grant, will 
be determined by the receiving agency in ac- 
cordance with G.S. 159G-6(b)(2) or 
159G-6(c)(2), subject to the limitations in G.S. 
159G-6(a)(2). 

(b) For the purposes of Rule .0202(a) of this 
Subchapter, median household income in the 
county in which the project is located will be 
as determined jointly each year by the U.S. 
Bureau of Census and the U.S. Department 
of Housing and Urban Development. 

(c) Grants from the High-Unit Cost Waste- 
water and Water Supply Accounts will be 
made only to approved projects that receive a 
commitment for the balance of project costs 
from any other source, including loans under 
this Subchapter and other loans from govern- 
mental or private sources. 

Statutory Authority G.S. I59G-6(a)(2); 
159G-6(b)(2); l59G-6(c)(2); I59G-I5. 

.0203 GRANTS FROM THE GENERAL 
REVOLVING LOAN AND GRANT 
ACCOUNTS 

Eligibility of an application for a grant from 
the General Wastewater Revolving Loan and 
Grant Account established in G.S. 
159G-6(b)(l) or the General Water Supply 
Revolving Loan and Grant Account estab- 
lished in G.S. 159G-6(c)(l), and the amount 
eligible for such a grant, will be determined by 
using the same criteria provided in the Act and 
this Subchapter for grants from the High-Unit 
Cost Wastewater and Water Supply Accounts. 

Statutory Authority G.S. 159G-2; 

159G-6(a)(2); l59G-6(b)(l ); l59G-6(c)( 1 ); 
159G-15. 



8.W 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



.0204 LOANS I ROM THE EMERGENCY 
REVOLVING LOAN ACCOUNTS 

(a) Projects required for repair or replace- 
ment of existing wastewater treatment or col- 
lection facilities where failure of such facilities 
creates or will create conditions jeopardizing 
the classified uses of the receiving waters, or 
resulting in a present or imminent serious 
public health hazard as certified by the Envi- 
ronmental Management Commission, are eli- 
gible for loans from the Emergency 
Wastewater Revolving Loan Account. 

(b) Projects required to remedy a serious 
public health hazard related to the water sup- 
ply system that is present or imminent in a 
community as certified by the Division of 
Health Services are eligible for loans from the 
Emergency Water Supply Revolving Loan 
Account. 

(c) Project cost overruns on wastewater 
treatment, wastewater collection or water sup- 
ply projects are not eligible for loans from the 
Emergency Wastewater Revolving Loan Ac- 
count or the Emergency Water Supply Re- 
volving Loan Account, unless the original 
project loan commitment was from one of 
those accounts. 



Statutory Authority G.S. 
159G-6(c)(3); I59G-I5. 



159G-6(b)(3); 



.0205 DETERMINATION OF ELIGIBILITY 

(a) Each application for loans or grants un- 
der this Subchapter will be reviewed by the 
receiving agency to determine whether it meets 
the eligibility requirements of the Act and this 
Subchapter. 

(b) Each applicant will be notified by the 
receiving agency of its eligibility for consider- 
ation for a loan or grant award. 

(c) Applications from ineligible applicants 
will be returned to the applicant. 

Statutory Authority G.S. 159G-9; 159G-I5. 

SECTION .0300 - APPLICATIONS 

.0301 APPLICATION FILING DEADLINES 

(a) In Fiscal Year 1988, applications to be 
considered for a loan or grant award under this 
Subchapter from funds appropriated for Fiscal 
Year 1988 shall be postmarked or delivered to 
the principal offices of the receiving agency in 
Raleigh, North Carolina on or before March 
31, 1988, which shall be the filing deadline for 
that priority review period. 

(b) In Fiscal Year 1989 and in every fiscal 
year thereafter, applications to be considered 



for a loan or grant award under this Subchap- 
ter from funds available in the first semi-annual 
priority review period of a fiscal year shall have 
an effective date of receipt of September 30 of 
that year, which shall be the filing deadline for 
that priority review period. Applications to 
be considered for a loan or grant award under 
this Subchapter from funds available in the 
second semi-annual priority review period of a 
fiscal year shall have an effective date of receipt 
of March 31 of that year, which shall be the 
filing deadline for that priority review period. 

Statutory Authority G.S. 159G-10; 159G-15. 

.0302 GENERAL PROVISIONS 

(a) Applications for loans or grants under 
this Subchapter shall be submitted on the ap- 
propriate forms and accompanied by all doc- 
umentation, assurances and other information 
called for in the instructions for completing 
and filing applications. Information concern- 
ing any grant or loan funds from any other 
source that the applicant has applied for or re- 
ceived for the project shall be disclosed on the 
application. 

(b) An applicant shall furnish information in 
addition to or supplemental to the information 
contained in its application and supporting 
documentation upon request by the receiving 
agency. 

(c) An applicant may amend an application 
having an effective date of receipt of the filing 
deadline for a priority review period to include 
additional data or information in support of its 
original application at any time prior to the 
date the receiving agency sets the priority rat- 
ing for that priority review period. 

(d) Any application that does not contain 
information sufficient to permit the receiving 
agency to review and approve the project by 
the date the receiving agency sets the priority 
rating for a priority review period shall not be 
included in the priority rating for that priority 
review period. 

(e) An application shall be filed with the re- 
ceiving agency before the award of contract on 
a project, except that applicants having 
awarded a contract on a project on or after 
August 12, 1987 may file an application at any 
time on or before March 31, 1988. The award 
of contract on a project prior to consideration 
of the application for a loan or grant award 
will neither exclude the application from con- 
sideration nor guarantee the award of a loan 
or grant for the project. 

(f) An application may be withdrawn from 
consideration upon request of the applicant 



NORTH CAROLINA REGISTER 



S3! 



PROPOSED RULES 



but if resubmitted shall be considered as a new 
application, 
(g) Applieations to the General Wastewater 
Revolving Loan and Grant Aceount shall first 
be considered for funding from the Water Pol- 
lution Control Revolving Fund established by 
G.S. 159G-5(c). If the application does not 
receive full funding from that Fund, it shall be 
considered for funding from the General 
Wastewater Revolving Loan and Grant Ac- 
count. 

Statutory Authority G.S. I59G-8; 159G-9; 
159G- 10(a); 159G-15. 

.0303 FILING OF REQUIRED 

SUPPLEMENTAL INFORMATION 

(a) All applicants shall file a notification of 
application for a loan or grant under this Sub- 
chapter with the State Clearinghouse of the 
Department of Administration. Clearinghouse 
comments received on notification of intent to 
apply for federal grant or loan assistance may 
be used to satisfy this provision of these Rules. 

(b) Fvery application shall be accompanied 
by an environmental assessment document as 
required by G.S. 159G-8(b), and any addi- 
tional environmental impact documentation 
that may be required, by the date the receiving 
agency sets the priority rating for a priority re- 
view period. 

(c) Any application that has not received 
approval by the receiving agency of the pre- 
liminary engineering report for the proposed 
project by the date the receiving agency sets 
the priority rating for a priority review period 
shall not be included in the priority rating for 
that priority review period. 

(d) Any application that is not accompanied 
by an adopted resolution as required by G.S. 
159G-9(3) stating that the unit of government 
has complied or will substantially comply with 
all applicable federal, state and local laws or 
rules shall not be included in the priority rating 
for that priority review period. Such resol- 
ution shall be certified or attested to as a true 
and correct copy as adopted. 

(e) If a public hearing is held on an applica- 
tion, the application shall not be included in 
the priority rating unless the hearing process is 
concluded by the date the receiving agency sets 
the priority rating for the priority review pe- 
riod. 

Statutory Authority G.S. 159G-8; J59G-9; 
159G-10(a); 159G-15. 

.0304 APPLICATIONS FOR EMERGENCY 



LOANS 

(a) Applications for loans from the Fmer- 
gency Wastewater Revolving Loan Account 
shall be submitted to the Division of Lnviron- 
mental Management. The application will be 
processed and considered for approval by the 
Fnvironmental Management Commission 
during the appropriate priority review period 
as established under Rule .0801(b) of this 
Subchapter. 

(b) Applications for loans from the Fmer- 
gency Water Supply Revolving Loan Account 
shall be submitted to the Division of Health 
Services. The application will be processed 
and considered for approval by the Division 
of Health Services dunng the appropriate pri- 
ority review period as established under Rule 
.0801(b) of this Subchapter. 

(c) Applications for emergency loans shall 
conform with this Subchapter, except that 
Rules .0301 and .0303(a) shall not apply. 

Statutory Authority G.S. 159G-6(b)(3); 
159G-6(c)(3); 159G-I5. 

SECTION .0400 - CRITERIA FOR 
EVALUATION OF ELIGIBLE APPLICATIONS 

.0401 GENERAL CRITERIA 

(a) During the review periods set forth in 
Section .0800 of this Subchapter all eligible 
applications shall be assigned a priority for 
loan or grant funds. Priorities shall be assigned 
by the Fnvironmental Management Commis- 
sion for applications for project loans or grants 
for wastewater treatment works and wastewa- 
ter collection systems and by the Division of 
Health Services for applications for project 
loans or grants for water supply systems. 

(b) In determining the priority to be assigned 
each eligible application, the Environmental 
Management Commission and the Division of 
Health Services will give consideration to the 
following priority factors: 

(1) Primary consideration shall be given to 
the public necessity of the project in 
promoting the public health, safety, and 
welfare and in providing or having the 
potential of providing the greatest ben- 
efit to the greatest number of persons. 

(2) Consideration shall also be given to the 
eligibility of the proposed project for 
federal funding; the compatibility of the 
proposed project with the state's gen- 
eral program of water supply and water 
pollution control, and any applicable 
regional planning program; the popu- 
lation to be served; the fiscal responsi- 



832 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



bility of the applicant; and the need of 
the applicant for funding assistance. 
(3) Additional consideration shall be given 
to eligible units of government which 
demonstrate practices for the conserva- 
tion of water. 
(c) The categorical elements and items to be 
considered in assigning priorities to each ap- 
plication for which loan or grant funds are 
sought, and the points to be awarded to each 
categorical element and item are set forth in 
Sections .0500, .0600 and .0700 of this Sub- 
chapter. Unless otherwise specifically indi- 
cated, if an item for an element of a particular 
category applies specifically to the application 
under consideration, the application will be 
awarded the number of points assigned to that 
item for the categorical element; and if no item 
applies, no points will be awarded the applica- 
tion for that particular element. 

Statutory Authority G.S. I59G-I0; I59G-15. 

.0402 CRITERIA FOR WATER 
CONSERVATION 

Applicant may receive a maximum of 15 bo- 
nus points for meeting the following criteria as 
applicable: 
( 1 ) Applicant demonstrates it has 
a continuing I I program in its 
wastewater sewer maintenance 
program. (Wastewater Projects 
Only) 



(2) Applicant demonstrates it has 
a continuing water loss program 
in its water supply system pro- 
gram. (Water Supply Projects 
Only) 

(3) Applicant has a continuing 
program of water conservation 
education and information. 

(4) Applicant has adopted and is 
effectively enforcing the state 
plumbing code within the appli- 
cant's jurisdiction. 



points 



5 points 



5 points 



5 points 



Statutory Authority G.S. I59G-10; I59G-/5. 

0403 CRITERIA FOR GRANT INCREASES 

After award of a state grant under this Sub- 
chapter, increases may be made for approved 
projects provided: 



(1) A new application containing adequate in- 
formation including revised cost data is sub- 
mitted. 

(2) That, based on its effective date of receipt, 
the new application is rated for priority 
along with all other eligible applications 
during the same priority period. 

(3) The new application's priority rating is ad- 
equate to support the award of the addi- 
tional funding. 

Statutory Authority G.S. 159G-I0; 159G-/5. 

SECTION .0500 - PRIORITY CRITERIA FOR 

WASTEWATER TREATMENT WORKS 

PROJECTS 

.0501 WATER POLLUTION CONTROL NEEDS 

Maximum Value--55 Points: 

The value of this Rule will be the sum of the 
points assigned under Items (a), (b), (c) and (d) 
of 9 NCAC 3J .0502. 

Statutory Authority G.S. 159G-10; 1S9G-15. 

.0502 APPLICABLE CONDITIONS 

(a) Proposed project will comply 
with established water quality stand- 
ards and priority points will be as- 
signed on the basis of the 
classification assigned to the receiving 
waters as follows: 

(1) Class "SA" (Shellfish Waters) 



(2) Class "WS-II" or "WS-III" 
(Water Supply Source) 

(3) Class "FT or "SB" (Bathing 

Waters) 

(4) Class "C" or "SC" (Fishing) 

(b) Construction of proposed pro- 
ject has been initiated or must be in- 
itiated within 12 months to comply 
with an order issued or with a com- 
pliance schedule approved by the 
Environmental Management Com- 
mission, or by Judicial Order. 

(c) Proposed projects will upgrade 
or replace an existing primary waste- 
water treatment facility. 

(d) Proposed project will provide 
wastewater treatment processes for 
the removal of nutrients or other 
materials not normally removed by 
conventional treatment processes. 



30 points 

' >s points 

26 points 
24 points 



10 points 



10 points 



NO R TH CA R OLINA R EG IS TER 



S33 



PROPOSED RULES 



5 points 
Statutory Authority G.S. 159G-I0; J59G-/5. 

.0503 FINANCIAL NEED OF APPLICANT 

Maximum Value-- 15 Points: 

The financial need of the applicant will be de- 
termined by the following formula: 

f x 100 (Total Bonded Indebtedness 
Points = plus Total Estimated Project Cost) 

Total .Appraised Property Valuation 

"Total bonded indebtedness" includes all out- 
standing bonds as of the first day of the quarter 
in which the project application is eligible for 
consideration for the assignment of a priority but 
shall not include bonds already authorized or 
sold to finance proposed project. 

"Total appraised property valuation" refers only 
to real property valuation based on the most re- 
cent appraisal for tax purposes as officially re- 
corded in the county or counties in which the 
service area of the proposed project is to be lo- 
cated. 

"f" shall be a factor of 1.5 for project applica- 
tions from units of government located in coun- 
ties or areas designated by the Tconomic 
Development Administration as a "qualified 
area" under the Public Works and Tconomic 
Development Act of 1965 as amended. Tor all 
other applications, the factor shall be 1.25. 

"f x 100 is used in the formula to provide point 
values for this categorical element. 

Statutory Authority G.S. 159G-10: 159G-15. 

.0504 FISCAL RESPONSIBILITY OF HIE 
APPLICANT 

Maximum Value— 10 points: 
The value of this Rule will be the sum of the 
points assigned to either Item (I) or (2) of this 
Rule plus the value assigned to Items (3) and (4) 
of this Rule: 
(1) Applicant has adopted an ac- 
ceptable sewer use ordinance 
which will be placed in effect on 
or before the completion date of 
the proposed project and has es- 
tablished an equitable schedule 
of fees and charges providing 
that each category of users shall 
pay substantially its proportional 
part of the total cost of the op- 
eration and which will provide 
sufficient revenues for the ade- 
quate operation, maintenance 
and administration and for rea- 
sonable expansion of the project. 

6 points 



(2) Applicant is in the process of 
adopting an acceptable sewer use 
ordinance which will be adopted 
and placed in effect on or before 
the completion date of the pro- 
posed project and has estab- 
lished an equitable schedule of 
fees and charges providing that 
each category of users shall pay 
substantially its proportional 
part of the total cost of the op- 
eration and which will provide 
sufficient revenues for the ade- 
quate operation, maintenance 
and administration and for rea- 
sonable expansion of the project. 

2 points 

(3) Applicant has established by 
resolution of its governing body 
a capital reserve fund into which 
all surplus revenues from such 
charges and fees will be placed 
for the purposes specified in G.S. 
159G-9(4). (Copy of the resol- 
ution must be submitted with 
application.) 

2 pomts 

(4) The applicant has followed 
proper accounting and fiscal re- 
porting procedures as evidenced 
by the applicant's most recent 
report of audit and the applicant 
is in substantial compliance with 
provisions of the general fiscal 
control laws of the state. 

2 points 
The Environmental Management Commission 
may seek the comments of the Secretary of the 
local Government Commission in determining 
the values to be assigned to Items (3) and (4) of 
this Rule. 

Statutory Authority G.S. 159G-10; 159G-15. 

.0505 STATES OF PROJECT 

Maximum Value-- 10 points: 
The value of this Rule will be the sum of the 
values assigned to Items (1) to (5) of this Rule. 

(1) financing of the applicant's 
share of the project arranged by 
having held and passed a bond 
referendum, arranged for the sale 
of revenue bonds or cash avail- 
able; 

5 points 

(2) final detailed construction plans 
and specifications submitted; 

2 points 



834 



SORTH CAROLINA REGISTER 



PROPOSED RULES 



(3) the proposed plant site ap- 
proved in writing by the Divi- 
sion of Environmental 
Management; 

(4) plant site secured or option 
taken; an opinion of title counsel 
should be submitted stating 
whether or not the applicant (or 
the present owner if only an op- 
tion has been obtained) has 
good and valid title to the entire 
site (excluding easements and 
rights-of-way), free and clear of 
any pre-existing deeds of trust, 
liens or other encumbrances 
which would affect the value or 
usefulness of the site for the 
purpose intended; 

(5) all necessary rights-of-way 
and or easements acquired; an 
opinion by title counsel similar 
to that concerning the site 
should be submitted in substan- 
tiation of the acquisition. 



1 point 



1 point 



1 point 



Statutory Authority G.S. I59G-10; I59G-I5. 

SECTION .0600 - PRIORITY CRITERIA FOR 

WASTEWATER COLLECTION SYSTEM 

PROJECTS 

.0601 PUBLIC NEED 

Select One; Maximum Value— 25 points: 

(1) Project is intended to improve 
or expand an existing system for 
which adequate wastewater 
treatment facilities are: 

(a) presently provided, 25 points 

(b) under construction, 20 points 

(c) proposed. 15 points 

(2) Project is intended to provide a 
basic system for a unit of gov- 
ernment which is not presently 
served by an approved system 
and adequate wastewater treat- 
ment will be provided by: 

(a) other public system, 20 points 

(b) applicant. 15 points 

Statutory Authority G.S. 159G-I0; 159G-1S 

.0602 PUBLIC HEALTH NEED 

Select One; Maximum Value— 20 points: 
(1) Project will eliminate a critical 
public health hazard. 

20 points 



(2) Project will eliminate an 
emerging public health hazard. 

15 points 

(3) Project will eliminate a demon- 
strated or potential water pol- 
lution problem. 

10 points 
A public health hazard will be considered "crit- 
ical" when it affects a significant number of per- 
sons within a substantial area. 

Statutory Authority G.S. 159G-10; 159G-15. 

.0603 FINANCIAL NEED OF THE APPLICANT 

Maximum Value-- 15 points: 

The financial need of the applicant will be de- 
termined by the following formula: 

f x 100 (Total Bonded Indebtedness 
Points = plus Total Estimated Project Cost) 

Total Appraised Property Valuation 

"Total bonded indebtedness" includes all out- 
standing bonds as of the first day of the quarter 
in which the project application is eligible for 
consideration for the assignment of a priority but 
shall not include bonds already authorized or 
sold to finance the proposed project. 

"Total appraised property valuation" refers only 
to real property valuation based on the most re- 
cent appraisal for tax purposes as officially re- 
corded in the county or counties in which the 
service area of the proposed project is to be lo- 
cated. 

"f" shall be a factor of 1.5 for project applica- 
tions from units of government located in coun- 
ties or areas designated by the Economic 
Development Administration as a "qualified 
area" under the Public Works and Economic 
Development Act of 1965 as amended. For all 
other applications, the factor shall be 1.25. 

"f x 100" is used in the formula to provide point 
values for this categorical element. 

Statutory Authority G.S. 159G-10; 159G-15. 

.0604 FISCAL RESPONSIBILITY OF THE 
APPLICANT 

Maximum Value-- 10 points: 

The value of this Rule will be the sum of the 
points assigned to either Item (1) or (2) plus the 
value assigned to Item (3) and (4) of this Rule: 

(1) Applicant has adopted an ac- 
ceptable sewer use ordinance 
which will be placed in effect on 
or before the completion date of 
the proposed project and has es- 
tablished an equitable schedule 
of fees and charges, providing 
that each category of users shall 



SORTH CAROLINA REGISTER 



S35 



_ 



PROPOSED RULES 



pay substantially its proportional 
part of the total cost of the op- 
eration, and which will provide 
sufficient revenues for the ade- 
quate operation, maintenance 
and administration and for rea- 
sonable expansion of the project. 

6 points 

(2) Applicant is in the process of 
adopting an acceptable sewer use 
ordinance which will be adopted 
and placed in effect on or before 
the completion date of the pro- 
posed project and has estab- 
lished an equitable schedule of 
fees and charges, providing that 
each category of users shall pay 
substantially its proportional 
part of the total cost of the op- 
eration and which will provide 
sufficient revenues for the ade- 
quate operation, maintenance 
and administration and for rea- 
sonable expansion of the project. 

2 points 

(3) Applicant has established by 
resolution of the governing body 
a capital reserve fund into which 
all surplus revenues from such 
charges and fees will be placed 
for the purposes specified in G.S. 
159G-9(4). (Copy of the resol- 
ution must be submitted with 
application.) 

2 points 

(4) The applicant has followed 
proper accounting and fiscal re- 
porting procedures, as evidenced 
by the applicant's most recent 
report of audit, and the applicant 
is in substantial compliance with 
provisions of the general fiscal 
control laws of the state. 

2 points 
The Division of Environmental Management 
may seek the comments of the Secretary of the 
Local Government Commission in determining 
the values to be assigned to Items (3) and (4) of 
this Rule. 

Statutory Authority G.S. 159G-10; 159G-1S. 

.0605 FINANCING OF THE PROJECT 

Maximum Value-- 5 points: 
(1) Applicant has received a com- 
mitment for funding from a fed- 
eral agency. 

5 points 



Statutory Authority G.S. I59G-I0; I59G-I5. 

.0606 STATUS OF PROJECT 

Maximum Value-- 15 points: 

The value of this Rule will be the sum of the 
value assigned to Items (1), (2) and (3) of this 
Rule: 

(1) preliminary engineering report 
approved in writing by the Divi- 
sion of Environmental Manage- 
ment; 

3 points 

(2) final detailed construction plans 
and specifications submitted; 

8 points 

(3) all necessary sites, rights-of-way 
and or easements acquired; an 
opinion by title counsel should 
be submitted stating that all ne- 
cessary sites, rights-of-way 
and or easements have been ac- 
quired by the applicant. 

4 points 

Statutory Authority G.S. J59G-/0; 159G-I5. 

SECTION .0700 - PRIORITY CRITERIA FOR 
WATER SUPPLY SYSTEMS PROJECTS 

.0701 PUBLIC NECESSITY: HEALTH: SAFETY 
AND WELFARE 

Maximum Value--55 points: 
(1) System and Service Area Needs: 
(Maximum Points--20) 

(a) The project is intended solely 
to increase the source of raw- 
water to meet existing service 
area needs or to alleviate water 
shortage problems. 

12 points 

(b) The project is intended to im- 
prove an existing system with 
no increase in the area to be 
served. 

12 points 

(c) The project is intended to in- 
crease the existing area to be 
served without improvement 
of the existing system. 

14 points 

(d) The project is intended to in- 
cease the existing area to be 
served and includes needed 
improvements to the existing 
system. 

16 points 

(e) The project is intended to sig- 
nificantlv increase the existing 



8S6 



\ORTH CAROLINA REGISTER 



PROPOSED RULES 



area to be served, includes 
needed improvements to the 
existing system and is so de- 
signed as to permit intercon- 
nection at an appropriate time 
with an expanding metropol- 
itan, area-wide or regional 
system. 

(f) The project is intended to 
provide for construction of a 
basic system for a unit of go- 
vernment which is not pres- 
ently served by an approved 
public water supply system. 

2) Public Health Need (Maximum 
Points— 15). If one item of this 
categorical element applies, the 
value of 10 points will be 
awarded. If both items apply, a 
maximum of 15 points will be 
awarded : 

(a) The project is intended to al- 
leviate an urgent or imme- 
diately anticipated water 
shortage problem which has 
significant public health im- 
plications. 

(b) The project is necessary to 
eliminate a potential public 
health hazard. 

Notwithstanding other pro- 
visions relating to the assign- 
ment of priority point values for 
various categorical elements and 
items, the Division of Health 
Services may award a higher 
priority value to an eligible ap- 
plication if the proposed project 
is required to eliminate a dem- 
onstrated or critical hazard to 
the public health. 
(3) Capacity for Future Growth 
(Select One) 
(Maximum Points— 20): 

(a) The project is intended to 
provide for the immediate 
needs. 

(b) The project is intended to 
provide for the reasonable 
forsecable growth needs of the 
area during the next 5-10 
years. 



20 points 



20 points 



10 points 



10 points 



6 points 



(c) The project is intended to 
provide for the reasonable 
foreseeable growth needs of 
the area during the next 11-15 



10 points 



years. 

(d) The project is intended to 
provide for the reasonable 
foreseeable growth needs of 
the area during the next 16-20 
years. 

(e) The project is a proposed re- 
gional system or a major 
component of a regional sys- 
tem which is intended to pro- 
vide for the reasonable 
foreseeable growth needs of 
the area to be served during 
the next 20 or more years. 



12 points 



14 points 



20 points 

Statutory Authority G.S. 159G-10; I59G-I5. 

.0702 COMPATIBILITY WITH STATE: 

REGIONAL AND LOCAL PLANNING 

Maximum Value-- 10 points: 

The value of this categorical element is the sum 
of the points awarded to either Item (1), (2), or 
(3) plus the points assigned to Item (4) of this 
Rule: 

(1) In the absence of applicable lo- 
cal, area-wide or regional plan- 
ning, the project has been 
endorsed officially by the appro- 
priate planning agencies or by 
the appropriate elected officials 
of the county or counties in 
which the project is located or 
proposed to be located. 

(2) The project is compatible with 
applicable local, area-wide or re- 
gional planning in the county or 
counties in which the project is 
located or proposed to be lo- 
cated. 

(3) The project is compatible with 
applicable local, area-wide or re- 
gional planning in the county or 
counties in which the project is 
located or proposed to be lo- 
cated and has been officially en- 
dorsed by the appropriate 
planning agencies. 



5 points 



6 points 



8 points 



NORTH CAROLINA REGISTER 



837 



PROPOSED RULES 



(4) The project is compatible with 
the state s general program of 
water supply planning for the 
county or counties in which the 
project is located or proposed to 
be located or is in compliance 
with a regional water supply 
system plan approved by the 
Division of Health Services. 



2 points 



Statutory Authority G.S. I59G-10; I59G-15. 

.0703 FINANCIAL CONSIDERATIONS 
Maximum Value— 35 Points: 

( 1 ) Financing of the Project (Select One) 
(Maximum Points-- 10): 

(a) Applicant has received a com- 
mitment for funding from a 
federal agency. 

5 points 

(b) Applicant has funds available 
or bonds have been author- 
ized to provide the applicant's 
share of the project costs but 
a commitment for funding has 
not been received from a fed- 
eral agency. 

5 points 

(c) Applicant has received a com- 
mitment for funding from a 
federal agency and has funds 
available or bonds have been 
authorized to provide the ap- 
plicant's share of project costs. 

10 points 

(d) Applicant has funds available 
or bonds have been author- 
ized to cover project costs 
over and above the state grant 
or loan funds requested. 

10 points 

(2) Fiscal Responsibility of the Applicant 
(Maximum Points-- 10). The value of tins 
categorical element shall be the sum of the 
points awarded Items (ai to (e) of this Par- 
agraph: 

(a) The applicant has followed 
proper accounting and fiscal 
reporting procedures as re- 
flected in the applicant's most 
recent report of audit, and the 
applicant is in substantial 
compliance with the pro- 
visions of the general fiscal 
control laws of the state. 

2 points 



points 



2 points 



2 points 



(b) The applicant has an effective 
tax collection program. 

(c) The additional debt service re- 
quirements resulting from the 
project will not increase the 
existing tax rate excessively. 

fd) Fstimated revenues will pro- 
vide funds for proper future 
operation, maintenance and 
administration, reasonable ex- 
pansion of the project and es- 
timated annual principal and 
interest requirements for the 
project debt plus annual prin- 
cipal and interest requirements 
on the outstanding debt in- 
curred for existing facilities. 

(e) The applicant has established 
or has submitted a resolution 
of its governing body directing 
the establishment of a capital 
reserve fund into which all 
surplus revenues from charges 
and fees will be placed for the 
purposes specified in G.S. 
159G-9(4). (Copy of the re- 
solution must be submitted 
with the application.) 

2 points 
In determining the points to be awarded this 
categorical element, the Division of Health 
Services may seek the comments of the Secre- 
tary of the Focal Government Commission. 
Applicants not authorized to levy taxes shall 
be eligible to receive two points for Item (b) 
and two points for Item (c) of this Paragraph. 
(3) Financial Need of the Applicant (Maxi- 
mum Points-- 15). The financial need of the 
applicant will be determined by the follow- 
ing formula: 

f x 100 (Total Bonded 
Indebtedness plus Total 
Points = Estimated Project Cost) 

Total Appraised Property 

Valuation 
'Total bonded indebtedness" includes all 
outstanding bonds as of the first day of the 
quarter in which the project application is el- 
igible for consideration for the assignment of 
a priority but shall not include bonds already 
authorized or sold to finance the proposed 
project. 

'Total appraised property valuation" refers 
only to real property valuation based on the 
most recent appraisal for tax purposes as of- 



Si8 



XORTH CAROLINA REGISTER 



PROPOSED RULES 



ficially recorded in the county or counties in 
which the service area of the proposed project 
is to be located. 

"f" shall be a factor of 1.5 for project appli- 
cations from units of government located in 
counties or areas designated by the Economic 
Development Administration as a "qualified 
area" under the Public Works and Economic 
Development Act of 1965 as amended. For 
all other applications, the factor shall be 1.25. 
"f x 100" is used in the formula to provide 
point values for this categorical element. 

Statutory Authority G.S. I59G-10; 159G-15. 

.0704 ENVIRONMENTAL ASSESSMENT 

No points will be awarded to this categorical 
element. However, both the beneficial and ad- 
verse effects of the project on the environment 
will be considered in the award of points on re- 
lated applicable elements and items in Rules 
.0701 and .0702 of this Section. 

Statutory Authority G.S. J59G-/0; 1S9G-I5. 

SECTION .0800 - PRIORITY REVIEW PERIODS: 
ASSIGNMENT OF PRIORITIES 

.0801 PRIORITY REVIEW PERIODS 

(a) The first semi-annual priority review period 
of a fiscal year for applications to the General 
Wastewater and Water Supply Revolving Loan 
and Grant Accounts and the High- Unit Cost 
Wastewater and Water Supply Accounts shall be 
from July 1 through December 31 of that year. 
The second semi-annual priority review period 
of a fiscal year for applications to those accounts 
shall be from January 1 through June 30 of each 
fiscal year. 

(b) Priority review periods for loans from the 
Emergency Wastewater and Water Supply Re- 
volving Loan Accounts shall be established by 
the receiving agency as it deems appropriate with 
respect to the timely remedy of present or immi- 
nent serious public health hazards. 

Statutory Authority G.S. 159G-10; I59G-I5. 

.0802 ASSIGNMENT OK PRIORITIES 

(a) All applications that have been reviewed 
and approved by the receiving agency by the date 
the receiving agency sets the priority rating for a 
priority review period will be assigned a priority 
rating according to the applicable criteria set 
forth in Sections .0400, .0500, .0600, and .0700 
of this Subchapter. A separate priority rating 
will be established for each wastewater and water 
supply account in each priority review period. 



(b) The receiving agency may exercise its dis- 
cretionary authority in the matter of establishing 
a priority rating for any project application in 
cases where: 

(1) two or more applications receive the same 
number of priority points, 

(2) where extreme public necessity exists, or 

(3) in other unusual circumstances, i 

Statutory Authority G.S. 159G-2; 159G-8(c); 
159G-I0; I59G-I5. 

.0803 ASSIGNMENT OF CATEGORY TO 
WASTEWATER APPLICATIONS 

(a) Applications to the General Wastewater 
Revolving Loan Account or the High- Unit Cost 
Wastewater Account will be assigned a category 
as follows, during review of the applications: 

(1) All applications for projects that are under 
orders or projects whose receiving waters 
have been designated Nutrient Sensitive 
Waters by the Environmental Manage- 
ment Commission, and that have submit- 
ted final project plans and specifications 
for review and approval by the receiving 
agency, shall be placed in Category 1. 

(2) All applications for projects that have 
submitted final project plans and specifi- 
cations for review and approval by the 
receiving agency shall be placed in Cate- 
gory 2. 

(3) All other applications shall be placed in 
Category 3. 

(b) /Ml applications in Category 1 for a specific 
wastewater account will be funded before appli- 
cations in Category 2 in the same account. All 
applications in Category 2 for a specific waste- 
water account will be funded before applications 
in Category 3 in the same account. 

Statutory Authority G.S. J59G-2; 159G-15. 

SEC! ION .0900 - LOAN AND GRANT AWARD 

AND 

COMMITMENT: DISBURSEMENT OF LOANS 

AND GRANTS 

.0901 DETERMINATION OF LOAN AND 
GRANT AWARDS 

(a) All funds appropriated to each account 
under this Subchapter for a fiscal year and all 
other funds accruing to each account in the first 
priority review period of the fiscal year from loan 
principal repayments, interest payments, interest 
earned on funds in the account, excess funds not 
awarded in the previous priority review period, 
and any other source, will be available in the first 
priority review period of the fiscal year. 



NORTH CAROLINA REGISTER 



<V.*9 



PROPOSED RULES 



lb) Funds accruing to each account from loan 
principal repayments, interest payments, interest 
earned on funds in the account, excess funds not 
awarded in the previous priority review period, 
and any other source, will be available in the 
second priority review period of the fiscal year. 

(c) If the receiving agency designates more than 
two priority review periods in a fiscal year for the 
Emergency Wastewater or Waste Supply Re- 
volving loan Account, any funds accruing to the 
account in those periods from any source will be 
available in those periods. 

(d) Of the funds available at the beginning of 
a priority review period in the General Waste- 
water and Water Supply Revolving loan and 
Grant Accounts and the Emergency Wastewater 
and Water Supply Revolving Eoan Accounts, ten 
percent of each account will be set aside for po- 
tential adjustments under Rule .0903 of this 
Subchapter to loans made from each account. 
Any funds set aside for this purpose from an ac- 
count that are not used to adjust loans during a 
priority review penod will return to the account 
in the next priority review period. 

(e) No more than ten percent of the funds 
available in a priority review period in the Gen- 
eral Wastewater Revolving Loan and Grant Ac- 
count, and no more than three percent of the 
funds available in a priority period in the Water 
Supply Revolving Loan and Grant Account, will 
be awarded as grants in that period. 

(f) The funds available in each account in a 
given priority review period will be awarded in 
the descending order of priority rating and Cate- 
gory as determined under Sections .0400, .0500, 
.0600, .0700, and .0800 of this Subchapter. 

(g) Commitment of the loan or grant will be 
made upon the acceptance of the award by the 
applicant. 

(h) If an application is not awarded a loan or 
grant in a priority review period because of its 
priority rating, the receiving agency will inform 
the applicant and will consider the application as 
a new application during the next priority review 
period. If the application again is not awarded 
a loan or grant because of its priority rating, the 
receiving agency will inform the applicant and 
return the application. 

Statutory Authority G.S. 159G-10; J59G-/5. 

.0902 CERTIFICATION OF ELIGIBILITY: 
NOTIFICATION OF COMMITMENT 

(a) The receiving agency shall forward to the 
Office of State Budget and Management a certif- 
icate of eligibility and notification of commit- 
ment for each application for which a loan or 
grant commitment has been made. 



(b) The certificate of eligibility shall indicate 
that the applicant meets all eligibility criteria and 
that all other requirements of the Act have been 
met. 

(c) The notification of commitment shall indi- 
cate the amount and the fiscal year of the loan 
or grant commitment. 

Statutory Authority G.S. 159G-12; I59G-I5. 

.0903 CRITERIA FOR LOAN ADJUSTMENTS 

(a) Upon receipt of bids, a loan commitment 
may be adjusted as follows: 

(1) The loan commitment may be decreased, 
provided the project cost as bid is less 
than the estimated project cost, and the 
receiving agency approves the loan com- 
mitment decrease. 
(2j Loan commitments may be increased, 
provided: the project cost as bid is greater 
than the estimated project cost; the pro- 
ject as bid is in accordance with the pro- 
ject for which the loan commitment was 
made; the receiving agency has reviewed 
the bids and determined that substantial 
cost savings would not be available 
through project revisions without jeop- 
ardizing the integrity of the project; and 
adequate funds are available in the ac- 
count from which the loan was awarded. 
Increases greater than ten percent of the 
loan commitment shall be approved by 
the receiving agency, the Local Govern- 
ment Commission, and the Office of State 
Budget and Management. 

Statutory Authority G.S. 159G-12; I59G-15. 

.0904 DISBURSEMENT OF LOANS AND 
GRANTS 

(a) Disbursement of the total amount of loans 
less than fifty thousand dollars ($50,000) will be 
made upon award of contract. The loan recipi- 
ent will notify the receiving agency of the award 
of contract. The receiving agency will authorize 
the loan disbursement upon receipt and review 
of such notice. 

(b) Disbursement of loans of fifty thousand 
dollars ($50,000) or greater will be made in in- 
stallments of 25 percent of the total loan amount. 
The first 25 percent installment will be made 
upon award of contract; the second 25 percent 
installment will be made upon 20 percent com- 
pletion of the project; the third 25 percent in- 
stallment will be made upon 45 percent 
completion of the project; and the fourth 25 
percent installment will be made upon 70 percent 
completion of the project. The applicant will 



S40 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



notify the receiving agency of the award of con- 
tract for disbursement of the first installment, and 
will provide documentation of percentage project 
completion for disbursement of the remaining 
installments. Upon receipt and review of such 
notice or documentation, the receiving agency 
will authorize the disbursements. 

(c) Grant disbursements will be made accord- 
ing to the same schedules and criteria as estab- 
lished for loans under this Rule. 

(d) The receiving agency will notify the Office 
of State Budget and Management to make loan 
or grant disbursements. A check in the amount 
of the disbursement authorized by the receiving 
agency will be forwarded to the loan or grant re- 
cipient by the Office of State Budget and Man- 
agement. The receiving agency will be notified 
by the Office of State Budget and Management 
as disbursements arc made. 

Statutory Authority G.S. 159G-12; 159G-15. 

SECTION .1000 - LOAN REPAYMENTS 

.1001 INTEREST RATES 

The interest rate to be charged on loans under 
this Subchapter will be set in each priority review 
period at the lesser of four percent per annum or 
one half the prevailing national market rate as 
derived from the Bond Buyer's 20- Bond Index in 
accordance with G.S. 159G-4(c). The interest 
rate will be the same for all loans awarded from 
any account, including the Emergency Wastewa- 
ter or Water Supply Account, during the priority 
review periods established in Rule .0801(a). 

Statutory Authority G.S. 159G-4(c); I59G-15. 

.1002 REPAYMENT OF PRINCIPAL AND 
INTEREST ON LOANS 

(a) The debt instrument setting the terms and 
conditions of repayment of loans under this 
Subchapter will be established after the receipt 
of bids and after any adjustments are made under 
Rule .0903 of this Subchapter. 

(b) The maximum maturity on any loan under 
this Subchapter shall not exceed 20 years. 

(c) Interest on the debt instrument will begin 
to accrue on the date the final disbursement is 
made to the loan or grant recipient by the Office 
of State Budget and Management. 

(d) All principal payments will be made annu- 
ally on or before May 1. The first principal 
payment is due not earlier than six months after 
the date of completion of the project. 

(e) All interest payments will be made semian- 
nually on or before May 1 and November 1 of 
each year. The first interest payment is due not 



earlier than six months alter the date of com- 
pletion of the project. 

(f) All principal and interest payments shall be 
made payable to the appropriate account as spe- 
cified in the debt instrument. 



Statutory Authority G.S. 
159G-I8. 



I59G-13; 159G-I5; 



SECTION .1100 



INSPECTION AND AUDIT OF 
PROJECTS 



.1101 INSPECTION 

Inspection of a project to which a loan or grant 
has been committed under this Subchapter may 
be made to determine the percentage of com- 
pletion of the project for installment disburse- 
ments and other disbursements, and for 
compliance with all applicable laws and rules. 

Statutory Authority G.S. 159G-14; I59G-15. 

.1 102 AUDIT OF PROJECTS 

All projects to which a loan or grant has been 
committed under this Subchapter will be audited 
in accordance with G.S. 159-34. 

Statutory Authority G.S. I59G-I5. 

SECTION .1200 - SEVERABILITY 

.1201 SEVERABILITY 

If any provision of these Rules or its application 
to any unit of government, person or circum- 
stance is held invalid, such invalidity shall not 
affect other provisions or applications of these 
Rules that can be given effect without the invalid 
provision or application, and to this end the 
provisions of these Rules are declared to be sev- 
erable. 

Statutory Authority G.S. I59G-I5. 

TITLE 10 - DEPARTMENT OF HUMAN 
RESOURCES 

iV otice is hereby given in accordance with G.S. 
150B-12 that the Division of Facility Services, 
Medical Care Commission intends to adopt regu- 
lation cited as 10 NCAC 3C .0307. 



T> 



i. 



he proposed effective dale of this action is June 
19S8. 



1 he public hearing will be conducted at 9:30 
a.m. on March 18, 1988 at Hearing Room, Coun- 
cil Building, 70/ Barbour Drive, Raleigh, NC 

27603. 



NORTH CAROLINA REGISTER 



S4I 



PROPOSED RULES 



Co 



ommenl Procedures: Address comments to: 
Glenn B. Lassitcr, Jr., Legal Assistant to the Di- 
rector, Division of Facility Services, 701 Barbour 
Drive, Raleigh. XC 27603. Record will remain 
open from February 15, J 988 through March 17, 
1988. 

CHAPTER 3 - FACILITY SERVICES 

SUBCHAPTER 3C - LICENSING OF 
HOSPITALS 

SECTION .0300 - ADMINISTRATION 

.0307 RISK MANAGEMENT 

(a) Each hospital shall develop and fully sup- 
port a Risk Management program for the pre- 
vention or reduction of injuries to patients, staff, 
and visitors as well as reduction of property 
damage or loss. The program shall include a 
system for the identification, collection, and 
analysis of incidents or factors which cause or 
threaten personal injury or property losses. 

(b) Each hospital shall assign to a specific staff 
member responsibility for development and ad- 
ministration of the program. 

(c) Each hospital shall have a wntten policy 
statement evidencing a current commitment to 
the Risk Management program. In addition, the 
hospital shall develop written procedures and 
policies applicable to a Risk Management system 
which are reviewed annually and updated as ne- 
cessary 7 . 

(d) Each hospital shall develop operational 
linkages between the Risk Management program 
and other functions relating to quality of patient 
care, safety, and professional staff performance. 

(e) Relevant educational programs for hospital 
employees, professional staff, and the governing 
body should be presented at least annually. 

(f) A written report of the activities of the Risk 
Management program shall be provided, at least 
annually, to the governing body. 

Statutory Authority G.S. 131E-96(a). 

•k'k'k'k-k-kieic-k-k'k-k'k'k'k'k'k'k 



No 



otice is hereby given in accordance with G.S. 
I SOB- 1 2 that the Division of Facility Services in- 
tends to adopt regulations cited as 10 XCAC 3 J 
.5101, .5201 - .5202, .5301. .5401 - .5402, .5501 - 
.5504, .5601 - .5607, .5701 - .5703, .5801 - .5805, 
.5901 - .5902, .600/ - .6007, .6101 - .6106, .6201 
- .6202, .6301 - .6302, .6401. 



1 he proposed effective dale of this action is June 
1, 1988. 

1 he public hearing will be conducted at 9:00 
a.m. on March 16, 1988 at Hearing Room, Coun- 
cil Building, 701 Barbour Drive, Raleigh, NC 
27603. 

Comment Procedures: Address comments to: 

Glenn B. Lassiter, Jr., 

Legal Assistant to the Director 

Division of Facility Services 

701 Barbour Drive 

Raleigh, SC 27603 

Record open from February 15, 1988 through 

March 16, 1988. 

CHAPTER 3 - FACILITY SERVICES 

SUBCHAPTER 3J - THE OPERATION OF 
LOCAL CONFINEMENT FACILITIES 

SECTION .5100 - DEFINITIONS 

.5101 DEFINITIONS 

The following definitions shall be applicable to 
10 NCAC 3J .5100 - .6500: 

(1) "Branch" means the Jail and Detention 
Branch within the Division of Eacility Ser- 
vices. 

(2) "Department" means the Department of 
Human Resources of the State of North 
Carolina. 

(3) "Division" means the Division of Facility 
Services within the Department of Human 
Resources. 

(4) "Minimum Secure Facility" means a local 
confinement facility, or a portion thereof, 
designed to hold inmates in a dormitory or 
barracks type setting when such inmates do 
not pose a threat to the custody, security, 
or welfare of others as determined by a clas- 
sification system. A satellite jail/work re- 
lease facility is an example of minimum 
secure facility. 

Statutory Authority G.S. 153A-230.4. 

SECTION .5200 - FUNDING 

.5201 STATE ASSISTANCE IN FENDING OF 
A SATELLITE JAIL/WORK RELEASE 
UNIT 

A county satellite jail/work release fund shall 
be created within the Office of State Budget and 
Management. This fund is created to provide 
state grants to counties or groups of counties for 
construction of satellite jail work release units. 



842 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



Statutory Authority G.S. 153 A- 230. 2. 

.5202 ELIGIBILITY 

A county or group of counties may apply for 
grant funds to construct a satellite jail work re- 
lease unit from the Office of State Budget and 
Management. The application shall he in a form 
established by the Office of State Budget. 

Statutory Authority G.S. /53A-230.2. 

SECTION .5300 - STANDARDS 

.5301 DEVELOPMENT OK MINIMUM 
STANDARDS 

The Secretary of Human Resources is responsi- 
ble for development of minimum standards for 
the operation of county satellite jail work release 
units. The department shall have monitoring 
and inspection responsibility for these units. 

Statutory Authority G.S. 153 A- 230. 4. 

SECTION .5400 - DESIGN DEVELOPMENT AND 

APPROVAL I OR SATELLITE JAIL/WORK 

RELEASE UMTS 

.5401 ARCHITECT OR ENGINEER 

A licensed architect or registered engineer au- 
thorized to practice in this state shall be em- 
ployed in planning a new satellite jail/work 
release unit or in renovation of an existing 
building into a satellite jail work release unit. 

Statutory Authority G.S. 153 A- 230.4. 

.5402 PLAN DEVELOPMENT 

(a) Before beginning construction, the local 
confinement authority shall submit copies of 
drawings and specifications to the Division of 
Facility Services, for review and approval in the 
following sequence: 

(1) Three sets of schematic drawings and 
outline specifications; 

(2) Three sets of preliminary working draw- 
ings or design development drawings and 
outline specifications; 

(3) Three sets of completed final working 
drawings and specifications. 

(b) Each stage of submittal will be reviewed by 
the Division of Facility Services for compliance 
with the North Carolina Building Code and for 
compliance with the N.C. Minimum Standards 
for the operation of a satellite jail/work release 
unit found in 10 NCAC 3J .5100 - .6500. 

(c) Upon receipt of the three sets of drawings 
and specifications at each stage of development, 
the division shall send one set to the Department 



of Insurance and one set to the Division of 
Health Services for their review and approval. 

Statutory Authority G.S. I53A-230.4. 

SECTION .5500 OPERATION PROGRAM 

.5501 REQUIREMENT FOR OPERATION 
PROGRAM 

Within 12 months of the effective date of these 
standards, the local operating authority, generally 
the Sheriff, having jurisdiction over a satellite 
jail/work release unit shall develop or have de- 
veloped an operations program or plan which 
shall describe in writing, how the satellite 
jail/work release unit will be operated. This plan 
shall be called a Standard Operating Procedure 
Manual for the unit. 

Statutory Authority G.S. 153A-230.4. 

.5502 CONTENTS OF AN OPERATIONS 
PROGRAM 

The operation program shall cover the follow- 
ing subjects at a minimum: 

( 1) transportation of inmates to and from the 
unit; 

(2) staffing; 

(3) inmate movement and observation; 

(4) food service; 

(5) alarm systems; 

(6) evacuation and fire plans; 

(7) inmate classification system; 

(8) medical care plan; 

(9) personnel employment policies and train- 
ing; 

(10) sanitation; 

(11) recreation areas and plan; 

(12) grievance procedures; 

(13) visitation plan or policy; 

( 14) religious plan or policy; 

(15) administration and management of unit 
(organizational structure goes here); 

(16) other program services available to the 
unit (community service programs). 

Statutory Authority G.S. 153A-230.4. 

.5503 APPROVAL OF HIE PROGRAM 

Prior to the implementation of the operational 
program, the local confinement authority, gener- 
ally the Sheriff, shall submit the program to the 
division for review and approval. Following no- 
tification by the division for review and approval, 
a copy of the program, signed by the local con- 
finement authority shall be sent to the division 
for its files. 

Statutory Authority G.S. 153A-230.4. 



NORTH CAROLINA REGISTER 



<S43 



PROPOSED RULES 



.5504 REVIEW OF THE PROGRAM 

The approved program shall be reviewed, no 
less than onee per year, by the local confinement 
authority. If changes are found necessary by this 
review, they shall be made. 

Statutory Authority G.S. 153A-230.4. 

SECTION .5600 - MINIMUM SECURE UNITS 

.5601 MINIMUM SECURE UNITS 

Minimum Secure Units, (satellite jail work re- 
lease units), may be located within a maximum 
secure unit or in a separate facility near or remote 
from a maximum secure unit. Minimum secure 
units designed and constructed under these Rules 
shall include the elements listed in this Section 
which shall be included in the approved oper- 
ations program submitted to the Division of Fa- 
cility Services. 

Statutory Authority G.S. 153A-230.4. 

.5602 CONFINEMENT UNIT 

Each minimum secure satellite jail work release 
unit shall include: 

( 1 ) No more than 24 inmates per sleeping area; 

(2) No less than 50 square feet per inmate de- 
voted to sleeping area only, when of the 
barracks or ward type design; 

(3) One shower per ten inmates, one water 
closet per six inmates, one sink per six in- 
mates and one water fountain per ten in- 
mates. Showers and toilet facilities shall be 
designed to provide maximum privacy (line 
of sight) while not interfering with the capa- 
bility of the jail staff to complete supervision 
rounds; 

(4) A telephone hookup or other arrangements 
provided within the area; 

( 5) A dayroom activity room for each unit se- 
parated from the sleeping area and of a size 
to provide a minimum of 105 square feet or 
no less than 35 square feet per inmate, whi- 
chever is greater; 

(6) A dayroom activity room designed to allow 
a variety of activities to take place and have: 

(a) sufficient seating and tables for each in- 
mate in each confinement unit; 
(bj natural light; 

(c) artificial lighting at 30 footeandlcs in read- 
ing areas which may be reduced during 
sleeping hours: 

(d) access to toilet, sink with hot and cold 
water, and drinking fountain; 

(e) visual control by staff to observe entire 
area from point of entrance; 



(f) direct voice contact with continuously 

staffed post and/or central control center. 

(7) Single occupancy sleeping areas when called 

for in the design. Each single occupancy 

area shall have: 

(a) a minimum of 60 square feet of floor 
space; 

(b) a minimum floor dimension of seven feet; 

(c) fixtures and furnishings; 

(d) a toilet, sink, and drinking fountain; 

(e) a bed frame; 

(f) artificial lighting of 30 footeandlcs which 
can be reduced during sleeping hours; 

(g) natural light provided by window with 
exterior exposure; 

(h) direct voice contact with staff post and/or 
central control center. 

Statutory' Authority G.S. 153A-230.4. 

.5603 PROGRAMMING AREAS 

Each minimum secure satellite jail/work release 
unit, when located in a separate facility from a 
maximum confinement unit shall have: 

(1) A general visitation area with: 

(a) a public entrance to the facility; 

(b) an entry located to permit direct observa- 
tion and control by staff; 

(c) storage facilities for visitors' coats and 
packages; 

(d) a sufficient number of stations to accom- 
modate visitation needs; 

(e) seating for both inmates and visitors. 

(2) A confidential attorney visitation area that: 

(a) is separate and distinct from the general 
visitation area; 

(b) permits passage of papers and documents; 

(c) provides seating with table/desk for writing 
for visitors and inmates; 

(d) provides artificial lighting of 30 footcan- 
dles; 

(e) permits contact visiting; 

(f) provides for visual monitoring, but not 
hearing by staff; 

(g) provides for visitors to contact staff if 
needed. 

(3) If the facility is not a "work release" only 
facility, a medical area designed: 

(a) to prohibit access by unauthorized per- 
sonnel; 

(b) to have locked storage for equipment, 
supplies, medications, and records; 

(c) for equipment approved by the jail physi- 
cian including a sink, toilet, shower, ex- 
amining table, nurses and physicians work 
station(s), telephone, and direct contact 
with the central control area. 



844 



NO R TH CA R OLINA R EG IS TER 



PROPOSED RULES 



(4) A food sen. ice that meets the sanitation re- 
quirements of the Commission for Health 
Services 10 NCAC 10A, Section .0100, with 
adequate storage and food preparation areas. 

(5) A laundry service (either contracted for or 
on premises). 

(6) In a facility which is not a "work release" 
only facility, recreational facilities with: 

(a) an area designed for vigorous physical ac- 
tivities, such as volleyball, basketball, etc. 
Scheduled use of this area shall be such 
as to permit a minimum of five hours of 
recreation per week; 

(b) equipment storage area; 

(c) staff observation post for all area; 

(d) access to areas controlled by staff. 

(7) A commissary through contract services or 
built on premises. 

Statutory Authority G.S. I53A-230.4. 

.5604 ADMINISTRATION AREA 

Each satellite jail 'work release unit shall have 
an administrative area which shall provide: 

(1) adequate space for administrative offices ac- 
cessible to the public; 

(2) clerical support areas; 

(3) record storage areas: 

(4) space for information resources, report 
writing, and training materials; 

(5) conference or training area; 

(6) space for unit administrator and support 
staff personnel. 

Statutory Authority G.S. I53A-230.4. 

.5605 CONSTRl CTION MATERIALS FOR 
SATELLITE JAIL/WORK RELEASE 
UMTS 

Traditional building materials may be used 
where safety will not be jeopardized, taking into 
consideration the type and/or level of security 
described in the operations program developed 
by the local authorities. 

Statutory Authority G.S. /53A-230.4. 

.5606 MECHANICAL SYSTEMS 

Mechanical systems shall: 

(1) Provide heating, ventilation, and air condi- 
tioning to meet the requirements of the N.C. 
Building Code; 

(2) Have master controls for electrical, plumb- 
ing, heating, and air conditioning, which are 
inaccessible to inmates; 

(3) Have master cutoff controls for electrical 
and water supplies to each confinement area 
(either single cells or dormitory type areas); 



(4) Have capability of maintaining temper- 
atures in the confinement areas within 68 
degrees Fahrenheit minimum in the heating 
season and a maximum of 85 degrees Fah- 
renheit during the non heating season. 

Statutory Authority G.S. I53A-230.4. 

.5607 GENERAL REQUIREMENTS 

In addition to the above, the minimum secure 
unit shall be designed to: 
(1) allow access for emergency equipment (e.g., 
fire hoses, stretchers) provided at appropri- 
ate entrances; 

have auxiliary power and emergency light- 
ing available; 

have vehicle parking for both public and 
facility staff and be so designed to prevent 
unauthorized persons from entering the se- 
curity perimeter. 



(2) 
(3) 



Statutory Authority G.S. I53A-230.4. 

SECTION .5700 - CLASSIFICATION 

.5701 FEMALE INMATES 

The local authority (sheriff) shall provide a 
work release program for both men and women, 
female inmates must be housed separately from 
male inmates. Common use areas (recreation, 
food service, multi-purpose) can be used jointly 
by male and female inmates. 

Statutory Authority G.S. 153A-230.4. 

.5702 STAFFING 

female staff must be on duty to provide super- 
vision for female inmates. 

Statutory Authority G.S. J53A-230.4. 

.5703 CLASSIFICATION SYSTEM 

(a) Fach satellite jail/work release unit shall 
develop a written classification system which 
shall cover the following categories of inmates: 

(1) Females; 

(2) Work release; 

(3) Weekend sentences; 

(4) Nonworking inmates; 

(5) Medically segregated inmates; 

(6) Administratively segregated inmates; 

(7) Youthful offender sentences. 

(b) A classification committee shall be formed 
to recommend to the court, sheriff, or other ju- 
dicial officials, the classification or security mea- 
sures for each inmate. 

Statutory Authority G.S. I53A-230.4. 



NORTH CAROLINA REGISTER 



tS45 



PROPOSED RULES 



SECTION .5800 -SAFETY AND SECl RITY 

.5801 SECl RITY 

Although satellite jail work release units are 
classified as minimum secure facilities, safety and 
security shall be of primary concern. Fire pro- 
tection and adequate means of evacuation must 
be assured. 

Statutory Authority G.S. 1 53 A- 230.4. 

.5X02 KEYS AND EXITS 

(a) F.ach facility shall provide alternative exits, 
readily available in case of fire or other emergen- 
cies and in compliance with N.C. Building 
Codes. 

(b) There shall be a minimum of two complete 
sets of facility and emergency exit keys. 

(c) One of the sets shall be stored in a safe, se- 
cure place, but accessible at all times to supervi- 
sory staff for use in case of an emergency. 

(d) Emergency exit keys shall be maintained 
on a separate key ring. 

Statutory Authority G.S. /53A-230.4. 

.580? FIRR EXTINGUISHERS AND I IRL 
SAFETY TRAINING 

(a) There shall be a sufficient number of fire 
extinguishers, approved by Underwriter Labora- 
tories, properly installed on each floor as outlined 
in National Fire Protection Association pam- 
phlet number ten 

(b) The type of extinguisher shall be appropri- 
ate for the area where mounted. 

(c) Fire extinguishers shall be inspected and 
recharged at least yearly, by a qualified person 
and so marked or tagged by date. 

(d| Arrangements shall be made with the local 
fire department to inspect the satellite jail work 
release unit at least once a year. This inspection 
shall be documented and kept on record at the 
unit. 

(e) Fire safety training, including equipment 
use, shall be conducted at least once a year. This 
training shall be documented and kept on file at 
the unit. 

Statutory Authority G.S. 153A-230.4. 

.5804 FIRE PLAN 

Each facility shall have a written fire plan on file 
at the unit. This plan shall include a plan of 
evacuation and control of inmates in the event 
of fire or other emergencies. The plan shall be 
readily accessible for review at the unit. Evacu- 
ation plan shall be posted on each floor. The 
plan shall include a requirement for stall training. 
This training shall be conducted with all staff, at 



least quarterly and this training shall be docu- 
mented and kept on file at the unit. 

Statutory Authority G.S. 153A-230.4. 

.5805 MATTRESSES 

(a) Mattresses and bedding shall comply with 
Commission for Health Services, 10 NCAC 10C, 
Sections .0312 - .0326 and G.S. Chapter 130A- 
273. Bedding shall meet federal flammability 
standards. 

(b) finished dimensions of mattresses provided 
inmates shall be not less than four inches thick 
and shall be of the same length and breadth as 
the jaii bunks. 

(c) Mattresses shall have no metallic, plastic 
or other rigid framing component in the finished 
unit. 

(d) Mattress ticking shall be a durable water 
repellent and flame retardant polyvinyl chloride 
sheeting which may include reinforcing fiber in 
the flexible sheeting, or ticking shall be a product 
of equal strength and equal chemical safety pro- 
perties. The ticking shall be sewn to envelope 
configuration enclosing the core material securely 
without metal or other fasteners. 

(e) Core material shall be all cotton batting 
impregnated with ten percent boric acid solids 
by weight, or equal fire resistant core material 
with combustible characteristics which produce 
no more human hazard than the treated cotton 
batting in areas of high temperatures and heat 
fluxes, untenable gas levels and visibility obscu- 
ration by smoke when subjected to burning tests 
of full-size mattresses or bench-scale tests which 
subject mattress specimens to an average im- 
posed heat flux of at least 2.5 w,cm- . 

(f) Suppliers of mattresses shall provide per- 
manent identification with year of production on 
the product as evidence of meeting these re- 
quirements. 

(g) Mattresses must be kept in good repair. 

Statutory Authority G.S. 153A-230.4. 
SECTION .5900 - STAFFING 

.5901 PERSONNEL 

(a) Sufficient supervisory personnel must be 
on duty in order to provide sight and sound ob- 
servation at all times. 

(b) In multi-level units supervisory personnel 
must be on each level inmates are housed. 

(c) Supervisory personnel shall be awake at all 
times during their work shift. 

(d) Female supervisory staff must be on duty 
at all times female inmates are housed. 



S46 



\ORTH CAROLINA REGISTER 



PROPOSED RULES 



Statutory Authority G.S. I53A-230.4. 

.5902 RECORDS 

(a) A job description shall be in writing for 
each category' of jail staff listing education, expe- 
rience, and other qualifications required. Also, 
a description of job duties and responsibilities for 
each category' shall be required. 

(b) An individual personnel file shall be main- 
tained on each employee. This file shall include 
previous employment history, education, and 
experience. 

Statutory Authority G.S. I53A-230.4. 

SECTION .6000 -SANITATION AND 
PERSONAL HYGIENE 

.6001 BEDDING 

(a) Clean and adequate bedding, mattresses, 
sheets and blankets will be supplied to inmates. 
Bedding shall be exchanged a minimum of twice 
weekly. 

(b) Furniture, bunks, and mattresses shall be 
kept clean and in good repair. Clean bed linen 
and easily clcanable or washable mattress covers 
shall be provided for each occupant and shall be 
changed as often as necessary. Clean linen shall 
be stored and handled through use of suitable 
bags or closed hampers in order to reduce the 
spread of contamination. Suitable room shall 
be provided for the separate storage of clean lin- 
ens from soiled linen. 

Statutory Authority G.S. 153 A- 230. 4. 

.6002 SHAVING 

Inmates shall provide their own shaving equip- 
ment. 

Statutory Authority G.S. 153A-230.4. 

.6003 TOWELS AND SOAP 

Inmates shall be provided necessary' towels and 
soap for bathing purposes. 

Statutory) Authority G.S. 153A-230.4. 

.6004 SHOWERS 

Inmates shall be provided access to showers on 
a daily basis. Shower areas must be smooth and 
easily clcanable and shall be kept clean. The hot 
water supply shall be adequate for the population 
serviced. 

Statutory Authority G.S. 1 53 A -230.4. 

6005 SANITATION 



The Commission for Health Services has 
adopted rules, as required by G.S. 153A-226, 
governing the sanitation of local confinement fa- 
cilities, including the kitchens and the places 
where food may be prepared for prisoners. A 
copy of the rules may be obtained from the San- 
itation Branch, Division of Health Services, P.O. 
Box 2091, Raleigh, N.C. 27601-2091. 

Statutory Authority G.S. I53A-230.4. 

.6006 WATER SUPPLY 

The water supply shall be from an approved 
source, shall be adequate and shall be safe, sani- 
tary quality. Reference: Commission for Health 
Services 10 NCAC 10A Governing the Pro- 
tection of Private Water Supplies, Section .1700 
and Commission for Health Services 10 NCAC 
10D Governing Public Water Supplies, Sections 
.0600 - .2600. 

Statutory Authority G.S I53A-230.4. 

.6007 LIQUID WASTES 

All sewage and liquid wastes shall be disposed 
of in a public sewer system or by other sanitary 
disposal method approved by the local health 
director. Reference: Commission for Health 
Services 10 NCAC 10A, for Sanitary Sewage 
Collection, Treatment and Disposal, Section 
.1900. 

Statutory Authority G.S. 153A-230.4. 

SECTION .6100 -FOOD 

.6101 DIET 

(a) Meals shall meet the nutritional needs of 
the inmates according to the recommended daily 
allowances of the National Research Council, 
National Academy of Sciences. A copy of the 
North Carolina Dietetic Association Diet Man- 
ual shall be available in the satellite jail for use in 
food service. These diet requirements shall apply 
to food service in all satellite jail/work release 
units whether food is served in-house or is ca- 
tered by contractual agreement. 

(b) Therapeutic diets shall be available as or- 
dered by a proper medical professional. 

Statutory Authority G.S. 1 53 A- 230.4. 

.6102 FOOD PREPARATION AND SERVICE 

(a) Sufficient space and equipment shall be 
provided for safe, sanitary food preparation 
and/or service including units which have catered 
food service. 



NORTH CAROLINA REGISTER 



847 



PROPOSED RULES 



(b) The kitchen and storage areas shall be 
clean, orderly, and protected from contam- 
ination. 

(c) [ : oods shall be attractively served, seasoned, 
and at proper temperature. 

(d) .Appropriate eating utensils and condiments 
shall be provided. 

(e) If food is transported, all items shall be 
covered to prevent contamination and main- 
tained at proper temperatures. 

Statutory Authority G.S. 1 53A-230.4. 

.6103 FOOD RECORDS 

(a) Menu's shall be planned in writing with 
portions specified. 

(b) If substitutions are necessary, written re- 
cords of these substitutions shall also be kept. 

(c) Records of dated menus and substitutions 
shall be kept for one year. 

(d) Menus shall be dated and posted one week 
in advance. The use of seasonal, three week cy- 
cle menus is recommended. 

(e) Dated invoices or bills shall be kept by the 
month. All invoices shall specify the food item 
and amount purchased. 

Statutory Authority G.S. I53A-230.4. 

.6104 SANITATION 

(a) All food shall be stored, prepared, and 
served in accordance with sanitary rules and reg- 
ulations adopted by the Commission of Health 
Services pursuant to provisions of G.S. 153A- 
226. 

(b) Whoever prepares distributes food shall 
meet all local health department requirements, 
wear clean outer garments, maintain a high de- 
gree of personal cleanliness, and conform to good 
hygiene practices. Reference: Commission for 
Health Services 10 NCAC 10A. Section .0123. 

(c) If any person assigned to food preparation 
and or food sen ice has other duties, such as 
laundry assignment, these duties shall not inter- 
fere with time or sanitation requirements to pro- 
vide adequate food service described in these 
Regulations. 

Statutory Authority G.S. 1 53 A- 230.4. 

.6105 FOOD FROM Ol TSIDE 
ESTABLISHMENTS 

la) In those units where it is necessary to pur- 
chase meals from outside food handling estab- 
lishments, contracts shall be written which ensure 
compliance with all of the above cited standards. 

(b) The outside agency shall provide food re- 
cords under Rule .6103(a) - Food Records. 



(c) If the outside agency cannot provide 
equipment for sanitary meal transportation (i.e., 
insulated food carts or trays) the satellite jail shall 
provide permanent equipment (insulated con- 
tainers), which maintains proper temperature. 
The equipment used and procedures for trans- 
porting meals shall be approved by the local 
health director. 

(d) bach food handling establishment shall be 
approved by the local health director. Meals 
shall be served in single service eating and drink- 
ing utensils. 

Statutory Authority G.S. 153A-230.4. 

.6106 STAFFING 

The satellite jail/work release unit shall provide 
sufficient personnel to meet these minimum 
standards. Inmates may be used to supplement 
the food service staff but shall not be used as the 
sole source of manpower for food preparation 
and service. 

Statutory Authority G.S. J 53.4-230.4. 

SECTION .6200 - MEDICAL CARE 

.6201 MEDICAL PLAN 

A written medical plan must be developed and 
available in the working area of each satellite 
jail work release unit. This written medical plan 
must include the following: 

(1) A basic description of the health services 
available to inmates within the unit from 
outside sources, and under contract; 

(2) Policies and procedures in the following 
areas of medical care shall be provided: 

(a) Care of inmates with acute illnesses; 

(b) Administration and control of medica- 
tions; 

(c) Emergency services; 

(d) Care of chemically dependent inmates; 

(e) Care of pregnant inmates; 

(f) Emergency dental care; 

(g) Health record and confidentiality of infor- 
mation; 

(h) Screening of inmates upon admission; 
(i) Staff development and training; 
(j) Provision of Social Services; 
(k) Care of inmates with communicable dis- 
eases. 

Statutory Authority G.S. 153A-230.4. 

.6202 RFPORT OF INMATE'S DEATH 

(a) Within live days of the death of an inmate, 
the facility shall complete and file the form "Re- 
port of Prisoner's Death," send an original copy 



848 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



to the local or district health director and send a 
second copy to: Jail and Detention Branch, Di- 
vision of Facility Services. 701 Barbour Drive, 
Raleigh, North Carolina 27603. 
(b) The form shall include prisoner's name and 
birth date, race, and sex; the name and address 
of the facility; the place, date, and time of death; 
cause of death (natural suicide) and method of 
suicide (sheet towel); name of coroner; whether 
a physician was in attendance: and any other in- 
formation which the division may require 

Statutory Authority G.S. 1 53 A- 230. 4. 

SECTION .6300 - TRAINING OF PERSONNEL 

.6301 EMPLOYEE REQUIREMENTS 

Local government officials responsible for the 
administration and supervision of jails shall em- 
ploy only persons with good moral character 
who appear capable of being trained in principles 
of proper care and welfare of inmates confined in 
their care and keeping. 

Statutory Authority G.S. 1 53 A- 230. 4. 

.6302 TRAINING 

All jail employees must comply with training 
requirements of G.S. 17F and a record of satis- 
factory completion of required courses must be 
maintained in individual personnel tiles. 

Statutory Authority G.S. 1 53 A- 230.4. 

SECTION .6400 - REPORTS 

.6401 MONTHLY REPORTS OF COUNTY 
SATELLITE JAIL/WORK RELEASE 
UNITS 

Local confinement authorities shall complete a 
monthly report on Form DIIR-JDS-1 and send 
it no later than the tenth day of the following 
month to: Jail and Detention Branch, Division 
of Facility Services, 701 Barbour Drive, Raleigh, 
North Carolina 27603. 

Statutory Authority G.S. 1 53 A- 230.4. 

****************** 



No 



otice is hereby given in accordance with G.S. 
I50B-I2 that the Child Day Care Commission in- 
tends to adopt regulations cited as 10 SCAC 3U 
.0205, .0403. .0506 - .0511, .0710 - .0714, .2006 - 
■2012, .2401 - .2407, .250/ - .25/0, .2601 - .2612; 
amend regulations cited as 10 SCAC 3U .0101 - 
■0/02, .0202, .0204, .0302 - .0303, .0401, .0505, 



.0703 - .0704, .0707 - .0709, .0901, .1001, .1004, 
.1601 - .1602, .1604, .1606. .1612 - .1613, .1701. 
.1902 - .1904. .2101, .2203, .2205; and repeal re- 
gulations cited as 10 SCAC 3U .0402, .0501 - 
.0504, .0706, .1603, .1605, .1607 - .1611, .1614. 

1 he proposed effective date of this action is July 
I, 1988. 

1 he public hearing will be conducted at 1:00 - 
9:00 p.m. on March 17, 1988 at Hearing Room, 
Room 201 , Council Building, 701 Barbour Drive, 
Raleigh, S.C. 27603. 



Co 



omment Procedures: Any interested person 
may present his' her views and comments either in 
writing to or at the hearing or orally at the hear- 
ing. Any person may request information, per- 
mission to be heard, or copies of the proposed 
regulations by writing or calling Davis Bowen, 
Child Day Care Section, 701 Barbour Drive, Ra- 
leigh, S.C. 27603, (919) 733-4801. 

CHAPTER 3 - FACILITY SERVICES 

SUBCHAPTER 3U - CHILD DAY CARE 
STANDARDS 

SECTION .0100 - PURPOSE AND DEFINITIONS 

.0101 PURPOSE 

The rules in this Subchapter prescribe the pro- 
cedures and standards requirements for licensure ) 
the regulation of child day care centers and Feg- 
istration ef child day care homes. 

Statutory Authority G.S. 110-88; 143B-168.3. 

.0102 DEFINITIONS 

The terms and phrases used in this Subchapter 
shall be defined as follows except when the con- 
tent of the rule clearly requires a different mean- 
ing. The definitions proscribed in G.S. 110-86 
also apply to these Rules. 
(1) "Agency" means the Child Day Care Sec- 
tion, Division of Facility Services, Depart- 
ment of Human Resources, located at 701 
Barbour Drive, Raleigh, North Carolina 
27603. 
(3) "After School Care" means d*¥ ease pro 
vided to school aged children as defined m 
Paragraph (-344 9& A** Rule which do e s set 
exceed tow hours m* a school 4a¥r Aft e r 
school er»ft* may exceed tow hours »» a 
non school day during t4*e school calendar 

f4-H2) "Appellant" means the person or per- 
sons who request a contested case hearing. 



NORTH CAROLINA REGISTER 



S49 



PROPOSED RULES 



hh( 3 1 "A" license means the license issued to 
day care operators who meet the minimum 
•. tiindard -i s* codifi e d h+ Suction ; '! .0500 - 
.1500 *h4 .Hmm I h4" t4** Subchapter. re : 
quirements for the legal operation of a child 
day care facility pursuant to G.S. 1 10-91 and 
applicable Rules in this Subchapter. 

(4-H4) "AA" license means the license issued 
to day care operators who meet the higher 
voluntary standards promulgated by the 
Child Day Care Commission as codified in 
Section .1600 of this Subchapter. 

ffe-K5) "Child Care Program" means a pro- 
vider of child day care services and may 
consist of a single center or home or a group 
of centers and or homes operated by one 
owner or supervised by a common sponsor. 

<-?-)■( 6) "Commission" means the Child Day 
Care Commission. ■ 

fS-H7) "Day care center" means any day care 
facility as defined in G.S. 1 10-86(3) which is 
authorized to provide day c are to J_3 or more 
children when any child present is pres- 
chool-age according to the definition of 
preschool-aged child in this Rule. 

fU-H N ) "Day Care Home" means anv child day 
care plan home as defined in G.S. 1 10-86(4) 
which provides day care on a regular basis 
of at least once per week for more than four 
hours, but less than 24 hours per day. Child 
care arrangements excluded from the defi- 
nition of day care facility in G.S. 110-86(3) 
are excluded as day care homes. 
(-UtyQ) "Department" means the Department 

of Human Resources. 
( 1 1 ) ( 10) "Di%ision" means the Division of 
Facility Services within the Department of 
Human Resources. 
f4-3- H 1 1 ) "Group" means the children assigned 
to a specific caregiver, or caregivers, to meet 
the staff-child ratios set forth in G.S. 
110-91(7) and this Subchapter, using space 
which is identifiable for each group. 

(12) "I arge child day care center" or "large 
center" means anv day care center which is 
authorized to provide care to SO or more 
children. 

(13) "I arge child day care home" or "large 
home" means anv dav care facility as defined 
in G.S. 1 10-X6(3) which is authorized to 
provide care to '± maximum of J_2 children 
when anv child present is preschool-aged or, 
when all children present are school-aged, to 
a maximum of 15 children. 



f4-4- H 1 5 ) "Licensing Manual" means the doc- 
ument published by the Child Day Care 
Section which contains the procedures and 
standards required by North Carolina law, 
the commission, and the department for li- 
censure of child day care centers. The li- 
censing manual may be obtained from the 
section at the address given in Paragraph (1) 
of this Rule. 

(16) "Medium child dav care center" or "me- 

any 



dium center" means 



dav 



care center 



( 13) ( 14) "licensee" means the person or entity 
that is granted permission by the State of 
North Carolina to operate a day care center. 



which is authorized to provide dav care to 
no more than 79 children. 

(4» K 17) "Operator's after-school own school- 
aged children" means, for the purposes of 
implementing G.S. 110-86(3), the operator's 
own children who are school-aged according 
to the definition of a school-aged child. 

( 16) ( 18) "Operator" means the person or en- 
tity held responsible by law as the owner of 
a child day care business. The terms "op- 
erator", "sponsor" or "licensee" are used 
interchangeably. 

(4&) ( 19) " Temporary Part-time care arrange- 
ment" means a child care arrangement re- 
quired to be licensed pursuant to G.S. 
1 10-86 and G.S. 1 10-98 which provides care 
on less than a full-time basis. Examples of 
temporary part-time care arrangements are 
certain drop-in, before/after school, and 
seasonal programs. 

f44f ( 20 ) "Passageway" means a hall or corri- 
dor. 

f4-8-) (21 ) "Preschool-aged child" means any 
child between birth and five years of age 
who does not fit the definition of school- 
aged child » Paragraph (21). in this Rule. 

(44f (22) "Provisional License" means the type 
of license issued to a center which does not 
conform in every respect with the standards 
for an "A" license. 

(j% (23) "Registrant" means the person or 
entity that is granted permission by the State 
of North Carolina to operate a day care 
home. 

f44-) (24) "School-aged child" means any child 
who is at least five years old on or before 
October 16 of the current school year and 
who is attending, or has attended, a public 
or private grade school or kindergarten. 

(32 H25) "Section" means the Child Day Care 
Section, Division of Facility Services, De- 
partment of Human Resources. The section 
is located at the address given in Paragraph 
(1) of this Rule. 

(26) "Small dav care center" or "small center" 
means anv dav care center which provides 
dav care for a maximum of 29 children. 



Sit) 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



(27) "Small Jay care home" or "small home" 
means the child care arrangements defined 
in G.S. 1 10-Sf)(4) which are subject to the 
registration requirements set forth in Section 
.1700 of this Subchapter. 

f3£ H28) "Special Provisional license" means 
the type of license which may be issued a 
day care operator pursuant to the conditions 
of G.S. 1 10-88 (6a) when child abuse or ne- 
glect has occurred in the center. 

(44) "Supervisor" m e an;;, fof the purposes ȣ 
implementing G* 110 01 £fy the person 
e» site at the center who has overall re- 
sponsibility h*f planning hh4 administering 
the child e«fe program. 44+* t e rms "sup e r 
visor" w+4 "director" w used interohangeu 



(25) (2 C >) "Teacher" means the caregi\'er who 
has responsibility for planning and imple- 
menting the daily program of activities for 
each group of children. 

(30) "Temporary license" means the license 
which may be issued when a licensed center 
changes location or changes ownership. 

(27) (31) "Volunteer" means a person who 
works in a day care center or day care home 
and is not monetarily compensated by the 
center or home. 

Statutory Authority G.S. 1 1 OSS; 143B- 168.3. 

SECTION .0200 - GENERAL PROVISIONS 
RELATED TO LICENSING 

.0202 CENTERS SUBJECT TO LICENSURE 

Any child care arrangement where six or more 
preschool-age children under 44 years el age (-Het 
including the operator's own after school chil 
d*e» as defined m th+s Subchapter) receive care, 
on a regular basis of at least once per week, for 
more than four hours but less than 24 hours per 
day, regardless of the time of day and regardless 
of whether the same or different children attend 
regularly, must be licensed. These arrangements 
include, but are not limited to: 

(1) day care centers, including those which op- 
crate for twenty-four hours per day; 

(2) nursery schools; 

(3) temporary part-time care arrangements, in- 
cluding those which provide care on a sea- 
sonal, drop-in, part time, or after-school 
basis as defined in R+4e .0102(26) Rule .0102 
of this Subchapter; 

(4) preschool programs hous e d m a public 
school building. 

(4) large day care homes; 

(5) summer day camps. 



Statutory Authority G.S. 110-86(3); 143B-I68.3. 

.0204 CHANGES REQUIRING ISSUANCE OK 
A NEW LICENSE 

(a) When the operator, as defined in Rulo .0102 
(44) Rule .0102, of a licensed day care center 
changes, the new operator must apply for a new 
license as proscribed t» Section .0300 b( this 
Subchapter, prior to assuming ownership of the 
center. A child day care license cannot be 
bought, sold, or transferred by one operator to 
another. 

Statutory Authority G.S. 110-88(8); 110-93; 
1 43 B- 168.3. 

.0205 PARENTAL ACCESS 

The custodial parent, guardian or full-time cus- 
todian of a child enrolled in any child day care 
facility or home subject to regulation under Ar- 
ticle 7 of Chapter 110 of the North Carolina 
General Statutes or these Rules shall be allowed 
unlimited access to the facility or home during its 
operating hours for the purposes of contacting 
the child or evaluating the facility or home and 
the care provided by the facility or home. The 
parent, guardian or custodian shall notify the 
on-site administrator of his/her presence imme- 
diately upon entering the premises. 

Statutory Authority G.S. 110-85; 143B-168.3. 

SECTION .0300 - PROCEDURES FOR 
OBTAINING A LICENSE 

.0302 APPLICATION FOR A LICENSE 

(d) The applicant, or the person responsible for 
the day-to-day operation of the center, must shall 
be able to describe the plans for the daily pro- 
gram, including room arrangement, staffing pat- 
terns, equipment, and supplies, in sufficient detail 
to show that the center will comply with Sections 
.0500 a«4 .0600 of this Subchapter applicable re- 
quirements for activities, equipment, and 
staff/child ratios for the size facility and type of 
license requested. The applicant shall make the 
following written information available to the 
section's representative for review to verify com- 
pliance with provisions of this Subchapter and 
the licensing law: 

(1) daily schedule(s), 

(2) activity plans, 

(3) emergency care plan, 

(4) discipline policy. 

(4) staff development plan. 

(h) If the license is denied, the operator may 

not reapply for a license for that facility for at 

least 90 days from the date the letter of denial is 

issued or, if administrative or judicial review is 



NORTH CAROLINA REGISTER 



851 



PROPOSED RULES 



requests J h\ the applicant, from the date the fi^ 
nal agency decision or iiidicial detennination is 
rendered, whichever rs later. 

Statutory Authority G.S. 1 10-88(2); 110-88(5); 
110-91; 110-92; 110-93; I43B-168.3. 

.0303 RENEWAL OK A LICENSE 

(c) V\Ticn the section's representative docu- 
ments noncompliance on the announced renewal 
visit, based on the severity and extent of non- 
compliance, the representative may return to the 
center at a later date, but prior to the license ex- 
piration date, to determine if compliance has 
been achieved: advise the licensee to submit 
written verification that the noncompliance has 
been corrected; recommend issuance of a provi- 
sional license in accordance with Section .0400 
of this Subchapter: or recommend denial of the 
application for renewal. Final disposition of the 
recommendation to deny is the decision of the 
section chief. The stipulations of Rule .0302(h) 
shall apply. 



Statuton; Authority 
I43B-168.3; I50B-3. 



G.S. 110-88(5); 110-93; 



SECTION .0400 - ISM \\( E OE PROVISIONAL 
AND TEMPORARY LICENSES 

.0401 PROVISIONAL LICENSES 

(a) A provisional license may be issued in ac- 
cordance with the provisions of G.S. 110-88(6) 
for any period of time not to exceed twelve con- 
secutive months for any of the following reasons: 

(1) To allow a specific time period for cor- 
recting a violation of the building, fire, or 
sanitation standards, requirements, pro- 
vided that the appropriate inspector doc- 
uments that the violation is not hazardous 
to the health or safety of the children, but 
nevertheless necessitates a provisional 
classification until corrected. 

(2) To allow a specific time period for the 
center to comply fully with all licensing 
standards requirements other than build- 
ing, fire, or sanitation, and to demonstrate 
that compliance will be maintained, pro- 
vided that conditions at the center are not 
hazardous to the health or safety of the 
children or staff. 

f^H 4«* allow a specific timi * pc ' nod k+f a f+ew- 
ownor. operator, e* sponsor H* appU t*+f 
a ftr^- hcuiV ' i ' . pursuant k* Rul e .ujnh *4~ 
tfei* SubchaptL ' r. v . hen ownonfup *£ a 
con tor changL" . h* ■■ omoono oihor than ri*e 
pr e vious liconsoo a* sp e cifi e d h* Rul e 
■ u2M. 



f-4-H 3 ) To allow time for the applicant or li- 
censee to obtain a declaratory ruling pur- 
suant to Section .2000 of this Subchapter. 

(b) The provisional license may be issued upon 
the section's determination that the applicant or 
licensee is making a reasonable effort to conform 
to such standards requirements. a«4 (be section 
shall submit written findings si such e ffort at (be 
Ht^rt regularly scheduled mew ting e$ (be commis 
s+e» which shall roviow tbe section's actions aft4 
concur »f dony. 

(c) The provisional license and the document 
describing the reasons for its issuance shall be 
posted in a prominent place in the center. 

(d) A licensee may obtain an administrative 
hearing on the issuance of a provisional license 
in accordance with Section .2000 of this Sub- 
chapter. 

Statutory Authority G.S. 110-88(6); 143B-168.3. 

.0402 SPECIAL PROVISIONAL LICENSE 
(REPEALED) 

Statuton Authority G.S. 110-88(6.a); 110-102.1; 
110-103; 110-103.1; 110-104; 143B-168.3; 
IS0B-3(c). 

.0403 TEMPORARY LICENSES 

(ai A temporary license may be issued in ac- 
cordance with the provisions of G.S. 1 10-88(10) 
to the operator of a previously licensed facility 
when a change in ownership or location occurs, 
provided the operator applied for a license, pur- 
suant to Section .0300, and Rule .0204(a) and, or 
(b) of this Subchapter, prior to the change in 
status. 

(b) The temporary license shall be posted in a 
prominent place in the center. 

(c) The temporary license shall expire after 90 
days, or upon the issuance of a license or provi- 
sional license to the operator, whichever is ear- 
lier. 

(d) An operator may obtain an administrative 
hearing on the denial of a temporary license in 
accordance with Section .2000 of this Subchap- 
ter. 

Statuton- Authority G.S. 110-88(10); 
143B- 168.3. 

SECTION .0500 - AGE APPROPRIATE 
ACTIVITIES FOR CENTERS 

.0501 STAEF/CHILD RATIO (REPEALED) 
.0502 CAREGIVING ACTIVITIES FOR 

INFANTS AND TODDLERS (REPEALED) 
.0503 CAREGIVING ACTIVITIES FOR 

PRESCHOOL-AGED CHILDREN 



852 



SORTH CAROLINA REGISTER 



PROPOSED RULES 



(REPEALED) 
.0504 CAREGIVING ACTIVITIES FOR 

SCHOOL-AGED CHILDREN (REPEALED) 

Statutory Authority G.S. 110-91; 110-91(2), 
(12); 1 43 B- 168.1; I43D-16S.3. 

.0505 DEVELOPMENTAL DAY CENTERS 

Child day care centers which meet the criteria 
for developmental day centers, as defined in 10 
NCAC 18M .0701 (contained in APSM 35-1, 
Standards for Area Programs and Their Contract 
Agencies, published by the Division of Menial 
Health, Mental Retardation and Substance 
Abuse Services), shall be determined in compli- 
ance with the provisions of Ruluo .0502 throuuh 
Aim Rules .0507 through .0511 of this Section 
by complying with the requirements for activities 
for developmental day centers set forth in 10 
NCAC 18M .0707, .0708 and .0713. 

Statutory Authority G.S. 110-91(2), (12); 
143B- 168.3. 

.0506 WRITTEN SCHEDULE: CENTERS 

(a) Each small day care center shall have a 
schedule posted for easy reference by parents and 
by caregivers. 

(b) Medium and large centers shall have a 
schedule posted for each group of children. 

(c) The schedule shall show blocks of time 
usually assigned to types of activities and shall 
indicate a balance between periods of active play 
and periods of quiet play or rest. 

(d) The activities and allotted times reflected in 
the schedule shall be appropriate for the ages of 
the children in the group. 

(e) When children two years old or older are in 
care, the schedule shall also reflect daily oppor- 
tunities for both free-choice and teacher-directed 
activities. 



Statutory Authority 
1 43 B- 168.3. 



G.S. 



110-91(12); 



Statutory Authority G.S. 
143B- 168.3. 



110-91(2), (12); 



.0507 ACTIVITY PLAN: SMALL CENTERS 

(a) Pursuant to G.S. 1 10-91(12), each small day 
care center shall have a written plan of age ap- 
propriate activities which is made available to 
parents. The plan may be posted in the center 
or included in the parent handbook or other op- 
erational policy literature given to parents when 
the child is enrolled. 

(b) The written plan shall describe the type of 
program offered by the center and shall include 
a general description of the activities made avail- 
able to the children. 



.0508 ACTIVITY PLAN: MEDIUM AND 
LARGE CENTERS 

(a) A written plan of age-appropriate activities 
designed to stimulate the social, emotional, in- 
tellectual and physical development of children 
shall be developed for each group of children in 
care. 

(b) The activity plan shall always be current 
and accessible for easy reference by parents and 
caregivers. 

(c) The activity plan shall include at least one 
daily activity for each developmental goal speci- 
fied in Paragraph (a) of this Rule. Activities 
which allow children to choose to participate 
with the whole group, part of the group, or in- 
dependently shall be identified. The plan shall 
reflect that the children have at least four different 
activities in which they may choose to participate 
on a daily basis. 

Statutory Authority G.S. 110-9/(12); 
1 43 B- 168.3. 

.0509 ACTIVITIES: GENERAL 

REQUIREMENTS FOR CENTERS 

(a) Each center providing care to children aged 
two years and older shall have equipment and 
materials available on a daily basis. The equip- 
ment and materials shall be appropriate for the 
ages of the children in care. 

(b) The materials shall be sufficient in quantity 
to provide a variety of play experiences which 
stimulate the children's social, emotional, intel- 
lectual and physical development and the mate- 
rials shall be easily accessible to the children. 

(c) Teacher-made and home-made equipment 
and materials may be used if they are safe and 
functional. 

(d) Age appropriate equipment and materials 
shall be provided for a variety of outdoor activ- 
ities which allow for vigorous play and large 
muscle development. Each child shall have the 
opportunity for outdoor play each day that 
weather conditions permit. The facility shall 
provide space and time for vigorous indoor ac- 
tivities when children cannot play outdoors. 



Statutory Authority G.S. 
1 43 B- 168.3. 



1/0-9/(2), (12); 



.0510 PRESCHOOL-AGED CHILDREN: 
ACTIVITY AREAS FOR CENTERS 

(a) Each small, medium and large day care 
center shall have equipment and materials avail- 
able in activity areas on a daily basis. 



NORTH CAROLINA REGISTER 



853 



PROPOSED RULES 



(b) An activity area is an identifiable space 
where related equipment and materials are kept 
in an orderly fashion which is accessible to the 
children. 

(c) Each activity area shall contain enough 
materials to allow three related activities to occur 
at the same time. The materials and equipment 
shall be in sufficient quantity to allow at least 
three children to use the area regardless of 
whether the children choose the same or different 
activities. 

(d) Each center shall make at least four of the 
activity areas listed in Paragraph (e) of this Rule 
available to children daily as follows: 

(1) Medium and large centers shall have at 
least four activity areas available in the 
space occupied by each group of children. 

(2) Small day care centers shall have at least 
four activity areas available daily. In 
small centers, separate groups of children 
may share use of the same activity areas. 

(e) Whenever one of these activity areas is 
available for use by children, it shall contain the 
items specified in this Rule as follows: 

( 1 ) Art and other creative play materials: 
(Aj Each art activity area shall contain 
crayons and plain paper, paste or glue, 
and paint and paint brushes. 
(B| In addition, each art activity area shall 
have three of the following items available 
to the children: scissors, construction 
paper, easel, clay or playdough, or collage 
materials. 

(2 1 Children's books: 

(A) Each book activity area shall have at 
least two age-appropriate books available 
for each child in the group (as defined in 
Rule .0102 of this Subchapter) to which 
the activity area is accessible. Books in 
other activity areas accessible to the same 
group of children may be counted in the 
minimum number of required books; or 

(B) The center shall have one book avail- 
able to each child enrolled in the center. 

(3) Blocks and block building accessories: 
(A) Each block activity area shall contain 

a minimum of 90 blocks consisting of unit 
blocks or table blocks, or a combination 
of the two, in at least three different 
shapes and sizes. 
( B) In addition, the block area shall contain 
at least two different types of block- 
building accessories, such as vehicles, ani- 
mals, human figures, or fences. 

(4) Manipulative materials: 

(A) Each manipulative activity area shall 
contain a variety of manipulative materi- 



als designed to promote development of 
small muscle coordination. 
(B) Each manipulative activity area shall 
have at least one item or set of items for 
each two children in the group (as defmed 
in Rule .0102 of this Subchapter) to which 
the activity area is accessible. There shall 
be a minimum of ten items or sets of 
items in each activity area. 
(5) Housekeeping and dramatic play materi- 
als: 

(A) Each housekeeping activity area shall 
have a sturdy child-sized play stove, table 
and chairs, and dolls. 

(B) In addition, the activity area shall con- 
tain at least three of the following items: 
sturdy play sink, play refrigerator, realistic 
accessories to include pots and pans, 
utensils, dishes, doll bed, full-length mir- 
ror, doll clothes and linens, or dress-up 
clothes. 

(f) In addition to the activity areas which are 
available each day, each center shall have mate- 
rials and equipment in sufficient quantity, as de- 
scribed in Paragraph (c) of this Rule, to ensure 
that activities are made available at least once per 
month m each of the five program areas listed in 
Paragraph (e). 

(g) 1 ach center shall provide materials and 
opportunities for music and rhslhm activities, 
science and nature activities, and sand and water 
play for each group of children at least once per 
month. 



Statutory Authority G.S. 
1 43 B- 168.3. 



110-91(6). (12); 



.051 1 ACTIVITIES FOR INFANTS AND 
TODDLERS 

(a) Each center providing care to infants and 
toddlers shall have three different age appropriate 
toys for each child under the age of two years. 

(b) The center shall provide time and space for 
sleeping, eating, toileting, diaper changing, and 
playing according to each child's individual need. 

(c) The caregivers shall provide opportunities 
for frequent interaction between the caregiver and 
each child. 

(d) Infants shall have opportunities daily to be 
outside the crib or playpen in addition to the 
time spent attending to their physical care. A 
safe, clean, uncluttered area shall be available to 
infants to crawl or creep. 

(e) Each child shall have the opportunity to be 
outdoors daily when weather conditions permit. 

Statutory Authority G.S. 1/0-91(2), (12); 
143B-I68.3. 



854 



SORTH CAROLINA REGISTER 



PROPOSED RULES 



SECTION .(1700 - HEALTH AM) OTHER 
STANDARDS I OR CENTER STAFF 

.0703 GENERAL STATUTORY 
REQl IREMENTS 

(a) All stall counted toward meeting the 
staff child ratio requirements set forth in G.S. 
Il l ) "1(7) Rules .0713 and .1)713 of this Section 
shall be at least 44> J_6 years of age. e* a high 
school graduate. 4-n+f purpose". . t4 th+s- Rule ' . the 
General l'ducation Development Certificat e shall 
be considered equivalent te- graduation from hj^h 
school. Persons younger than 18 years, hut at 
least 16 years old, H*ay shall work m centers un- 
der the conditions prescribed by G.S. 110-91(8). 
No one under 18 years of ag_c shall have full re- 
sponsibility for or be left in charge of a group of 
children. 

(b) Anyone who is at least 13 years of age, but 
less than 16 years of age, may work in a day care 
center on a volunteer basis, as long as he/she is 
supervised by and works with a required staff 
person who is at least 4-S 2J_ years of age, and also 
meets the health standards for volunteers found 
in Rule .0702 of (his Section. No one less than 
16 years old shall be left alone with children nor 
counted toward meeting the required staff child 
ratio. 

(c) 1 he provisions of G.S. 1 K)-'M(S) which 
exclude persons with certain criminal records or 
personal habits or behavior which may be harm- 
ful to children horn operating or being employed 
in a day care facility shall also apply to volun- 
teers, persons li\ ing on the premises in which the 
laeility is located, and other persons who enter 
the facility with the operator's permission when 
the children are present. This exclusion does not 
include parents or other persons who enter the 
facility only for the purpose of performing par- 
ental responsibilities. 

Statutory Authority G.S. 110-91(8); 143B-16S.3. 

.0704 PRESERVICE REQUIREMENTS FOR 
ADMINISTRATORS 

(a) The on-site administrator who has overall 
responsibility for planning and administering the 
child care program shall meet the following re- 
quirements: 

(1) Be at least 21 years of age, and be literate, 
and 

(2) Have either a high school or general edu- 
cation diploma, and 

(3) Have two years of full-time verifiable child 
day care or early childhood experience; or 
an undergraduate, graduate, or Associate 
Degree, with at least 12 semester hours in 



child development, child psychology, early 
childhood education or directly related 
field or, a child Development Associate 
Credential or completion of a community 
or technical college early childhood pro- 
gram; and 
(4) Have verification of having successfully 
completed, or be currently enrolled in, 3 
credit quarter hours, or 33 clock hours, 
of training in the area of child care pro- 
gram administration; or, have one year 
experience performing administrative re- 
sponsibilities; or, have one year experience 
performing administrative responsibilities 
and have another full-time staff person, 
who meets (1) through (3) of this Para- 
graph who is responsible for planning and 
implementing the daily program at the 
center to comply with Sections .0500 and 
.0600 of this Subchapter. 

(b) The administrator of a child day care pro- 
gram who does not routinely work on site, or 
who is responsible for more than one center 
and/or home, shall have verification of having 
successfully completed, or be currently enrolled 
in, 3 credit hours, or 33 clock hours, of training 
in child care program *»4 administration; or, 
have one year experience performing administra- 
tive responsibilities and have at least one full- 
time staff person on site at each center who meets 
the requirements of ( I) through (3) of this Para- 
graph (a). 

(c) Any person who is at least 21 years old and 
literate who was employed as an on-site admin- 
istrator in a day care program on or before Sep- 
tember 1, 1986, shall be exempt from the 
provisions of Paragraphs (a) and (b) of this Rule. 

planning *h4 implementing the daily program fef 
e ach group ef children shall be at least 4-8 years 

si f ■ ■ ■ »*t !■< i >«-'■ t a ■ l t-i , l hni'fi a t fwii-4 --■ »-» a j-i t <1h i-\I 

rrr o cc ■ iiil iu.il , cttttt i tu i \j u i iuuj i \r i iu err 1 1 iu irn 

lowing: 

(-4 A high school e* general education di- 
ploma *h4 e«e t»f the following: 
fA-4 Owe yeap e+ verifiable experience 

working m a- child day ea» c e nter; e* 
(444 Twenty additional hours of training 
within the fe4 em months »f employ 
m e nt; of 
fG} Successful completion of the Depart 
ment ef Public Instruction's Child Care 
Services Occupational Hume hconomics 
Program. 
(3) A Child Development Associate Cr e d e n 

(44 Graduation from a erne »f two year child 
eafe program at a community college of 
technical college. 



NORTH CAROLINA REGISTER 



<S>5 



PROPOSED RULES 



f4+ Att undergraduate t*f graduat e dcgreo wffh- 
at- least 44e e quivalent tff fot*f semester 
hours j» child development. 
(4+ I ■ " i s e y e ar ; ; t4 \enliahle experience working 
m child 4ay care . 
(*H -ttw a+4e t*f person responsibl e to- the 
teach e r caregiver t4f assisting with planning ami 
implementing t4*e daily program • . ■ hall be a high 
school graduate; t*f hav e a general education 4t- 
ploma; e+ K* cri- least 4-8 years el tt*» a«4 literat e . 
(44 Any person whose j+4> responsibility ift- 
cludes dn' i inu a- vehicle to transport children 
4w4k 



f 1 1 I J ■ L ■ . f 1 , 1 - ■ . t 1 V 1 ■.!■■«-!- i-A t ■ ■ . 1, 1 ■ .-\ r O . 1 I I 1 1 ' 1 I 

\ I 7 T7T CTT r^TTTT 11' TI.MI -' I,' I LI ~,\- , CTT CT UU1 f LI 

coni . ed school b*±s driv e r; s«4 
(44 Hav e f» conviction e4 Driving While \m- 
paired (DW'I) t+f oth e r impaired driving 
offense within rite 1*4 three y e ars; af*£ 
(44 I lave a valid driver s license; &f 
(44 44 regularly transporting more than twelv e 
persons, have a valid North Carolina 
Class 44- license, »f comparable licens e 
from t+te state m which he sh e resides. 
(g-+ Non carcgiving stoft t+f smy- person provid 
ifw support to 4*e op e ration e4 t4*e program shall 
bt» at- least 4-fe y ears »f a±w+ a«4 meet 4+e require 
ments e4 t4+e- local health department ft+f food 
handl e rs, 4 applicable, when duties at* related to 
food preparation w food sen ice. 

4*4 Am- substitute who f+a* caregivmg respon 
sihilities shall, at- a minimum, meet t4+e quulificu 
lions fof a» a*4e stated » Paragraph fe+ ef 4h* 

RLllfl I «~> -i.Uliti.xn ■ ■ r~\ \ ,lih . Iitnt i , i r-t \ ■ : r- . 1 i ■ i 1 1 ■ ■ 1 ■ . t 

11 1L. . Ill CTCTTTTTTTTTT7 HI I T J LI I '.'IILUIV Ul 1 T \_ I rTTTTTTT III LHJT 

possess a valid driver's license. 

Statutory Authority G.S. 110-91(8); 143D-168.3. 

.0706 STAFF DEVELOPMENT PLAN 
(REPEALED) 

Statutory Authority G.S. 1/0-9 J (9), (11); 
143B- 168.3. 

.0707 INSERVICE TRAINING 
REQl IREMENTS 

(a) Each day care center shall provide, or ar- 
range for the provision of, training for staff to 
assure that each new staff person who has con- 
tact with the children will receive a minimum of 
ten clock hours of on site orientation within the 
first six weeks of employment. This orientation 
shall include training in their job-specific duties 
and responsibilities; a review of the child day care 
licensing law and regulations; a review of the in- 
dividual center's personnel and operational poli- 
cies, purpose, and goals; an explanation of the 
role of state and local government agencies, their 
effect on the center, their availability as a re- 



source, and individual staff responsibilities to re- 
presentatives of State and local government 
agencies; observation of center operations; main- 
taining a safe and healthy environment; and 
training to recognize symptoms of child abuse 
and neglect. 

(b) The center director and any staff who have 
responsibility for planning and supervising a day 
care program, as well as staff who work directly 
with children, shall participate annually m a m+- 
nimum tff 34> clock hours tff in inservice training 
activities annually, according to the individual's 
assessed needs. Such training shall b<* either Fe- 
lated to child ea*e ©f to 4*e person's 44> respon 
sihilities. Staff mav choose one of the following 
options for meeting the inservice requirement: 

( 1 ) The staff person shall complete 20 clock 
hours of inservice training activities which 
are related to child care or to the person's 
job responsibilities; or 

(2) If the staff person has completed six 
quarter hours or 66 clock hours of early- 
childhood education or child development 
and is enrolled in an early childhood or 
child development curriculum program, 
completion of or enrollment in a course 
which is required or approved for com- 
pletion of that curriculum program will 
fulfill the annual inservice requirement. 

fc) For staff working less than 40 hours per 
week on a regular basis and choosing the option 
for 20 hours of inservice training, the training re- 
quirement mav be prorated as follows: 
WORKING 'HOURS CLOCK HOURS 



PHR WEEK 



REOJUIRED 

5 
10 

15 
20 



0-10 
11-20 
21-30 
31-40 

(44 New employees shall receive a minimum 
tff toft clock hours ef training during t4*e 

i « «-.- 1 f • . i-w ,-\ t ,-itt-iT\bii triiint * r\ fiilil ill -\ti t . ^ t M I t 
111 -.' I TT.TJr \7T Lllll ' 1L 1 TIT T\ST I T II I UTJTJ 1 1 IV 1 1 l \J 1 1 1^. 

34 clock hours t4 on sit e orientation f«- 
quired i«- fa4 t4 4h* Rule. 
(44 StuiT with 44 consecutiv e months »f em- 
ployment m U+e sam e 4ay eafe program 
■. hall rec e ive a minimum *4" 30 clock hours 
t4" training annually. 



Statutory 
1 43 B- 168.3. 



Authority 



G.S. 



110-91(11); 



.0708 MEETING INSERVICE REQUIREMENTS 

Staff may meet the staff development standards 
inservice training requirements by attending child 
care workshops, conferences, seminars, or 
courses provided each training activity satisfies 
the following criteria: 



S56 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



(1) Prior approval from the section is not re- 
quired for training offered by an accredited 
college or university, government agency, 
or state/national professional organization 
or its recognized affiliates, provided the 
content complies with the provisions of 
Rule .0707(b). 

(2) Prior approval from the section is required 
on an annual basis for agencies and or- 
ganizations which have staff who provide, 
or who arrange for the provision of, 
training for child care operators and/or 
staff. To obtain such approval, the 
agency or organization shall submit it's 
annual training plan to the section. 

(3) Prior approval for each training event 
must be obtained from the section by any 
organization, association, or individual 
not included in Paragraphs (1) and (2) of 
this Rule. 

(4) No more than five clock hours of the 20 
clock hours of training required annually 
shall be provided on site by center staff. 
This restriction shall not apply if the cen- 
ter staff providing the training have been 
approved according to the criteria outlined 
in either Paragraph (1) or (2) of this Rule. 



Statutory Authority 
143B- 168.3. 



G.S. 



110-91(11 ); 



.0709 DOCUMENTATION OF INSERVICE 
TRAINING 

Each center shall have a record of training ac- 
tivities in which each staff participates. That re- 
cord wiU shall include the subject matter, training 
provider, date provided, hours, and name of staff 
who completed the training. This documenta- 
tion muot shall be on file and must be current. 



Statutory Authority G.S. 
1 43 B- 168.3. 



110-91(9), (11); 



0710 PRESERVICE REQUIREMENTS FOR 
TEACHERS AND AIDES 

(a) The tcacher/caregiver with responsibility for 
planning and implementing the daily program for 
each group of children shall be at least 18 years 
of age, literate, and have at least on of the fol- 
lowing: 

(1) A high school or general education di- 
ploma and one of the following: 

(A) One year of verifiable experience 
working in a child day care center; or 

(B) Twenty additional hours of training 
within the first six months of employ- 
ment; or 



(C) Successful completion of the Depart- 
ment of Public Instruction's Child Care 
Services Occupational Home Economics 
Program. 

(2) A Child Development Associate Creden- 
tial. 

(3) Graduation from a one or two-year child 
care program at a community college or 
technical college. 

(4) An undergraduate or graduate degree with 
at least the equivalent of four semester 
hours in child development. 

(5) Five years of verifiable experience working 
in child day care. 

(b) An aide or person responsible to the 
teacher/caregivcr for assisting with planning and 
implementing the daily program shall be be at 
least 16 years old and literate. 

Statutory Authority G.S. 110-91(8); I43B-I68.3. 

.071 I PRESERVICE REQUIREMENTS FOR 
OTHER STAFF 

(a) Any person whose job responsibility in- 
cludes driving a vehicle to transport children 
shall: 

(1) He at least 18 years of age; or a duly li- 
censed school bus driver; and 

(2) Have no conviction of Driving While Im- 
paired (DWI) or other impaired driving 
offense within the last three years; and 

(3) Have a valid driver's license; or 

(4) If regularly transporting more than twelve 
persons, have a valid North Carolina 
Class B license, or comparable license 
from the state in which he/she resides. 

(b) Non-caregiving staff or any person provid- 
ing support to the operation of the program shall 
be at least 16 years of age; and meet the require- 
ments of the local health department for food 
handlers, if applicable, when duties are related to 
food preparation or food service. 

(c) Any teacher substitute shall be at least 18 
years old and literate. Any substitute driver shall 
be at least 18 years old and possess a valid driv- 
er's license. 

Statutory Authority G.S. 110-9/(8); 143B-168.3. 

.0712 STAFF/CHILD RATIOS FOR SMALL 
CENTERS 

(a) The staff/child ratios and group sizes for a 
small day care center are as follows: 

Age of Children Number of Children 
to 5 years 7 

2 to 5 years 10 

3 to 5 years 1 5 
5 years and older 20 



NORTH CAROLINA REGISTER 



,S57 



PROPOSED RULES 



Number of Staff 
1 
1 
1 



Group Size 
14 
20 
25 
25 



(b) When only one caregiver is required to 
meet the staff child ratio, and children under 
three years of age are in care, that person shall 
not be responsible for food preparation or other 
duties which are not direct child care responsi- 
bilities. 

(c) When onJy one caregiver is required to meet 
the staff child ratio, the operator shall select one 
of the following options for emergency relief: 

(1) The center shall post the name, address, 
and telephone number of an adult who 
has agreed in writing to be available to 
provide emergency relief and who can re- 
spond within a reasonable period of time; 
or 

(2) There shall be a second adult on the 
premises who is available to provide 
emergency relief. 

Statutory Authority G.S. 1/0-9/(7); 143B-168.3. 

.0713 STAFF/CHILD RATIOS FOR MEDIUM 
AND LARGE CENTERS 

(a) The staff cluld ratios and group sizes for 
single-age groups of children in medium and large 
day care centers are as follows: 

Aae of Children Number of Children 



to 2 vears 




7 


2 to 3 vears 




12 


3 to 4 years 




15 


4 to 5 vears 




20 


5 years and older 




25 


Number of Staff 

1 


Group Size 
14 


1 




24 


1 




25 


1 




2^ 


1 




25 



(b) The requirements for multi-age groups of 
children are: 

Age of Children Number of Children 

7 



to 2 years 

2 to 5 years 

3 to 13 years 

4 to 13 years 

5 vears and older 



Number of Staff 
1 



12 
IS 
2D 
2> 



Gi 



Size 



14 
24 
25 



1 25 

1 25 

(c) Children younger than two years old may 
be cared for in groups with older children at the 
beginning and end of the operating day provided 
the stall child ratio for the youngest child in the 
group is maintained. 

(d) A child two years of age and older may be 
placed with children under one year of age when 
a physician certifies that the developmental age 
of the child makes this placement appropriate. 

(e) Except as provided in Paragraphs (c) and 
(d), children under one year of age shall be kept 
separate from children two years of age and over. 
Also, children between the ages of 12 months and 
24 months shall not be routinely grouped with 
older children unless all children in the group are 
less than three years old. 

(f) When only one caregiver is required to meet 
the staff; child ratio, and children under three 
years of age are in care, that person shall not be 
responsible for food preparation or other duties 
which are not direct child care responsibilities. 

(g) When only one caregiver is required to meet 
the staff child ratio, the operator shall select one 
of the following options for emergency relief: 

(1) The center shall post the name, address, 
and telephone number of an adult who 
has agreed in writing to be available to 
provide emergency relief and who can re- 
spond within a reasonable period of time; 
or 

(2) There shall be a second adult on the 
premises who is available to provide 
emergency relief. 

Statutory Authority G.S. 110-91(7); 143B-16S.3. 

.0714 OTHER STAFFING REQUIREMENTS 

(a) Each day care center shall have an admin- 
istrator on site on a regular basis. This require- 
ment may be met by having one or more persons 
on site who meet the requirements for an ad- 
ministrator for the size center being operated ac- 
cording to the following schedule: 

( 1 ) Each small center shall have an adminis- 
trator on site for at least 20 hours per 
week. 

(2) Each medium center shall have an ad- 
ministrator on site for at least 25 hours 
per week. 

(3) Each large center shall have an adminis- 
trator on site for at least 30 hours per 
week. 

(b) At least one person who meets the re- 
quirements for an administrator or teacher as set 
forth in this Section shall be on site during the 
center's operating hours except that a person 



858 



SORTH CAROLINA REGISTER 



PROPOSED RULES 



who is at least 18 years old and literate and who 
has a minimum of one year's experience working 
with children in a day care center may be on duty 
at the beginning or end of the operating day 
provided that: 

(1) No more than ten children are present. 

(2) The staff person has worked in that center 
for at least three months. 

(3) The staff person is thoroughly familiar 
with the center's operating policies and 
emergency procedures. 

(c) At least on person who meets the require- 
ments for a teacher set forth in Rule .0710 of this 
Section shall be responsible for each group of 
children as defined in Rule .0102 of this Sub- 
chapter except as provided in Paragraph (b) of 
this Rule. 

(d) A teacher aide is a person who is responsi- 
ble to the teacher and assists with planning and 
implementing the daily program. An aide shall 
not have full responsibility for a group of chil- 
dren except as provided in Parauraph (b) of this 
Rule. 

(e) Children shall be adequately supervised at 
all times. Adequate supervision shall mean vis- 
ual supervision with the exception of brief peri- 
ods necessitated by emergencies and day-to-day 
child care responsibilities. 

(f) Tor groups of children aged two years or 
older, the staff child ratio during nap time is 
considered in compliance if at least one person 
is either in each room or is visually supervising 
all the children and if the total number of re- 
quired staff are on the premises and within calling 
distance of the rooms occupied by children. 

Statutory Authority G.S. 110-91(7), (8); 143B- 
168.3. 

SECTION .0900 - NUTRITION STANDARDS 

0901 GENERAL NUTRITION REQUIREMENTS 

a) Meals and snacks served shall contain the 
|ood groups outlined in the Basic Four Food 

juide which is based on the recommended nu- 
ent intake judged by the National Research 
ouncil to be adequate for maintaining good 
utrition. The number and size of servings shall 
e appropriate for the ages and developmental 
vels of the children in care, as specified in the 
ppendices to the Licensing Manual, as ap- 
roved by the commission. 

b) Menus for nutritious meals and snacks shall 
planned at least one week in advance, shall 
dated and posted where they can be seen easily 
parents when food is prepared or provided by 

e center. Menus shall also be posted in the 



food preparation area. A variety of food shall 
be included in meals and snacks. Any substi- 
tution will be of comparable food value and will 
be recorded on the menu. 
fe) When children bring th e ir ew» food fof 
meals and/or snacks te the center, ef when food 
is catered, if the food does net meet the nutri 
tionul requirements sp e cifi e d i» fa) t4 this Rule, 

tli^ .'.ini.ir mi i , i | -. r , ii i. 1 . i ■ ■ , I ■ 1 I 1 . , i .-■ - . 1 j 1 -\ , t , \ * \ . i , . , it - ■ • • | «-i r 

mv W [RCI rTTTTTTT E7TT7 » IUU UUUIIUTI 1U1 rTTTT^T IILL TTl^CTrHP 

1 1 \ mi *ii *t trwvH nuii 1 1 r> mhi ua t fi I n i tr aa L*i ■"" "1 fj^ ,\A 

TTT rrTCTT TTTTT7TC 1 L'l.1 U 1 1 VI I l^> 1 1 L ■.' ■ T I 1 1J LHJTJTTTT^Tirrr TTTTTTT 

I I l | I f. t L^i 1 > 1 1 i \* ■ 1 ) 1 * ■ •* • ' " * I . • r i i I . I \ i I \ i -t n.i.nli- i I | j-i , x t-. 1 . n- 

I I I Ll .. 1 1 I 1 U IMILI VU I \J Ul 1 j ETXXXvl " 1 \\J \W.\J\1 .\ TT Hi tTT^tt?!" 

t» satisfy nutritional requirements. 

fd-)- [c] Drinking water must be freely available 
to children of all ages and offered at frequent in- 
tervals. Approved drinking fountains or individ- 
ual drinking utensils shall be provided. When a 
private water supply is used, it must be tested by 
and meet the requirements of the Division of 
Health Services, Department of Human Re- 
sources. 

(e) (d) Children's special diets or food allergies 
shall be posted in the food preparation area and 
in the child's eating area. 

fff (e) The food required by special diets may 
be provided by the center or may be brought to 
the center by the parents. If the diet is prescribed 
by a physician, written instructions will be pro- 
vided by the child's parent, physician, or a regis- 
tered dietitian. 

(g) (jj F'ood and beverages with little or no nu- 
tritional value, such as sweets, fruit drinks, soft 
drinks, etc., will be available only for special oc- 
casions and only in addition to nutritious meals 
and snacks. 

Statutory Authority G.S. 110-91 (2); 143B-I6S.3. 

SECTION .1000 - TRANSPORTATION 
STANDARDS 

.1001 SEAT RESTRAINTS 

(a) All day care centers must abide by North 
Carolina law regulating the use of seat belts and 
child passenger restraint devices. 

(b) All vehicles operated by a day care center 
staff person or volunteer, or under contract with 
a center to transport children, must be properly 
equipped with seat belts or child restraint devices 
which met applicable federal standards at the 
time of their manufacture. 

(c) Whenever children are transported, each 
adult and child shall be restrained by an appro- 
priate individual seat belt or restraint device when 
the vehicle is in motion. Only one person may 
occupy each seat belt or restraint device. 

(d) Each child under three years of age shall 
be provided a child passenger restraint device 
appropriate for his/her size and age. Older chil- 



NORTH CAROLINA REGISTER 



$59 



PROPOSED RULES 



dren shall use a child restraint or scat belt ap- 
propriate for his her size. 

(e) These restraint regulations do not apply to 
commercial vehicles t+f other vehicles which are 
not required by state or federal law to be 
equipped with seat belts, except that children 
under one year of age shall never be transported 
outside an appropriate infant restraint device in 
any vehicle owned or operated under the auspices 
of the dav care center. 



Statutory 
I43B-168.3. 



luthority 



G.S. 



110-91(13); 



.1004 STAFF/CHILD RATIOS 

(a) When children aged two years and older are 
being transported, the number frf adults m each 
vehicl e '. 111111 H++t be lower th«« t4+e numb e r pfe- 
licribod by ; - . tal'f child ratio requirements f-t*F cliil 
dron h* a drty eafe c e nt e r » G.S. 110 Hl(7). the 
staff child ratios required for compliance with 
day care center regulations as set forth m Section 
.1)71)0 of this Subchapter shall apply. 

(b) When three or more children under the age 
of two years are being transported, the staff child 
ratio requirements for dav care centers set forth 
in Section .0700 of tins Subchapter for children 
under age two h* G£t 1 1 6 u 1 ( 7 ) shall be main- 
tained. The driver shall not be counted in the 
staff child ratio. 



Statutory 
143B- 168.3. 



.luthority 



G.S. 



110-91(13); 



SECTION .1600 - AA REQl IREMENTS 

.1601 ADMINISTRATION 

fa4 4-4te center '. hall have written specific pur 
poses ctft4 goals f+w Ae child tkty safe program. 
4-he purposes rt«4 goals shall be roviowod uiinu 
rtHy a«4 roviiiod a* noodod. 

f4*+ Copio ii e+ purposes ttft4 goals ' . ■ hull be 
posted h* tfee center. 

ft?-)- Copied &f purposes ««4 goals ' . . hall be 
available tt+ parents »«4 community loaders. 
Copi e s shall be distributed tt-v aH- ^+aff members 
i+ft4 board members, tf then ' » a board. 

bach AA center shall have administrative policy 
and practices which provide for responsible se- 
lection and training of staff, on-going communi- 
cation with and opportunities lor participation 
b\ parents, sound operational and fiscal man- 
agement, and objective evaluation of the pro- 
gram . management and staff. 

Statutory Authority G.S. 110-88(7); 143B-168.1; 
143B- 168.3. 



.1602 OPERATIONAL AM) PERSONNEL 
POLICIES 

(a) 44*e center shatt have written operational 
policies, parent invoKomont, family service, a«4 
personnel policies. T+te op e rational »«4 person 
He+ policies shall be reviewed annually a«4 re- 
vised a*r noodod. bach center shall have written 
policies which describe the operation of the cen- 
ter and the services which are available to parents 
and their children. The operational policies shall 
include at least the following information: 
( 1 ) the davs and hours the center operates; 

(2) age range of children serves; 

(3) admission requirements and enrollment 
procedures; 

(4) parent fees and payment plan: 

(5) information about services provided by the 
center, i.e. number of meals served, 
before after school care; transportation: 

(6) items, if any, to be provided by parents. 
f4*+ Copies ei operational, personnel, parent 

involvement a«4 family servic e policies shall be 
kept h+ the administrative f44es m the center. 

fe+ [bj Operational a»4 parent involvement 
policies shall be discussed with parents at the 
time they inquire about the possibility ef- enroll- 
ing their child in the day care center. A copy of 
the policies w+14 shall be given to the parents 
when their child is enrolled and thev wb» shall 
honcotorth be notified in writing of all changes. 

!)■■«-. \rlj .- «->-! IK-t ■ ' » ilTI ?! .-♦-.<■ ^ . ■» -. ..it ■'*♦'-*««''■ t_ti ♦ »'■■ T ■ ■ ■ • t 

l Tt 1 tri ttT* rrTTt^x rn tsri ct .'in ici i in ii nttt .'i iittl rrr ii hj iuvi 

t4+at they have Fea4 the current policies. This 
statement shall be placed i» the child's f+le &et e* 
hot ore his her fo*t d**y ei attendanc e at the eeH- 
tefr 

(*ty (c| Copies of the operational policies and 
any subsequent changes to those policies shall 
be distributed to the staff. w4w» w444 be notified 
t*f changes. 

(d) bach center in which more than two staff are 
required to meet the A A staff child ratios shall 
have wntten personnel policy which includes at 
least the following information: 

( 1 j job descriptions and wage or salary range 
for each position; 

(2) minimum qualifications for each position 
including reference checks; 

(3) health and medical requirements; 

(4) requirements and provisions for inservice 
training; 

(5) provisions for leave time and other ab- 



(6] 



sence; 

procedures for on-going supervision and 
regular evaluation of work performance; 

and 

(7) resignation and termination procedures. 
fe+ Personnel polici e s must be discussed w4tb 
each employe e at t4*e t+me »f his her employ 



860 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



merit. Gepies tff personnel pefetes must be 
given to each employee who wiH be notified tff 
ehaftges: 

(e) Personnel policies shall he discussed with 
each employee at the time of employment and a 
copy of the policies shall be available to all staff. 
Stall' shall be notified in writing of any changes 
in personnel policies. 

Statutory Authority G.S. 110-88(7); I43B-1683. 

.1603 ADMINISTRATIVE RECORDS: 

PERSONNEL RECORDS (REPEALED) 

Statutory Authority G.S. I 10-88(7); 143B-I68.1; 
1 43 B- 168.3. 



45 

55 
9 




10 6 
10 5 
189 


10 
13 

15 




20+* 

2530 

25 


20 


Staff 
+2 

+2 
+2 

2 

2 

2 

2 


25 



.1604 PHYSICAL FACILITY AND 

EQUIPMENT FOR AA CENTERS 

(a) There shall be at least 30 square feet inside 
space per child present at any one time and 100 
square feet outside space per child present at any 
one time. Or, there shall be at least 35 square 
feet inside space per child present at any one time 
and 100 square feet outside space per child for at 
least 50 percent of the total number of children 
present at any one time. 

(b) There must be an area arranged for ad- 
ministrative and private conference activities. 

fe) Thorn must be b+k» toilet to? every 4-r> chil 
&re» a«4 t*«e lavatory tof every 3W children. 

Statutory Authority G.S. 110-88(7); 143B-16S.1; 
143B- 168.3. 

.1605 HEALTH STANDARDS (REPEALED) 



fb) to any- multi age group situation, all chil 
dren under tw-» years »f age must be separated 
from the older children an4 be under the super 
vision ef a» additional staff person. 

(b) In any multi-age group situation, the 
staff child ratio for the youngest child in the 
group shall be maintained for the entire group. 

(c) The provisions of Paragraphs (c) through 
(g) of Rule .0713 shall apply to AA centers. 

Statutory Authority G.S. 110-88(7); I43B-168.3. 

.1607 STAFF/CHILD RATIOS FOR 6-16 

CHILDREN INCLUSIVE (REPEALED) 
.1608 STAFF DEVELOPMENT (REPEALED) 
.1609 SPACE FOR INFANTS (REPEALED) 
.1610 INFANT CARE HEALTH AND SAFETY 

(REPEALED) 
.161 1 SCHOOL AGE CARE (REPEALED) 



Statutory Authority G.S. 1/0-88(7); I43B-168.I; 
143B- 168.3. 

.1606 STAFF/CHILD RATIOS IN AA 
CENTERS 

(a) The center shall comply with the staff child 
ratios and group sizes set below, h* ttos Rul e . 
A group ef children is d e fin e d a* a certain num 
bm- ef children w+tb+ft- the t*»e tff a» assign e d 
adult, e* adult !. , a* the ew«* may be-r There is fk* 
tolerance allowed: 



AGH 



STAFF 



irth to 12 months 


1 


1 to 2 years 


1 


2 to 3 years 


1 


3 to 4 years 


1 


4 to 5 years 


1 


5 to 6 years 


1 


6 and older 


1 


Number of 


Group 



Children 



Size 



Statutory Authority G.S. 110-88(7); 143B-168.1; 
1 43 B- 168.3. 

.1612 AA CAREGIVING ACTIVITIES FOR 
PRESCHOOL-AGED CHILDREN 

(a) Fach facility center which provides care at 
the AA level shall comply with the requirements 
in Rule .0506 for written schedule, in Rule .0508 
for wntten activity plan, plans, and in Rule .0509 
for general activity a*ea requirements, found to 
Rwte .0503(a), (b^ a«4 (^ 

fb) The written activity plan will- includ e at 

f+4- Three free choice activities to promot e 
indep e ndence, s e lf relianc e , a»4 self es 
teem. 

(4+ Two teacher directed activiti e s to help 
children learn to listen, r e call, follow db 
rection, practice newly acquired skills, an4 
solve problems. 

b3} Three group activities to enhanc e the de- 
velopment o£ socialisation skills. 



NORTH CAROLINA REGISTER 



S61 



PROPOSED RULES 



f-ty 44+e wr i t ton plan w-41- include daily a«e- 
appropriate activities h+ languag e do vol 
opmont *h4 communication skills; largo 
a«4 small mu -. cl e development; in tor 
action w+to other children *b4 adults. 
f4+ 44k* written activity plan w+H- *}*# include 
weekly ago appropriate activiti e s Ht at- 
least 4* t4 At* following areas: 

(-A4 Numb e r concopto, 

f-K-t- Problem solving, 

(444 Science nature, 

(44+ Dramatic play , 

£fi) Block building, 

^ 1 ' j i?il! iO ill ill Wilt tM LHi.iT , 

to* Mu '. ic. 

(4+i Self help 4t41*t 

(4+ Creative afh 

f44 Carpentry woodv i orking, 

| I 'J I I (r 1 1 1 1 1 ' 9 (If H_I T fT*T T T T I 9 . 

fe+ bach child w+4 hav e t+n* opportunity to «*** 
at- l e a f i t 4* e+ toe following indoor activity areas 

CTR II LIU T . 

(44 Block conf.truction area; 

(3) Book languag e development area; 

(44 Housekeeping dross u f» area; 

f-ty Mampulati' i O pu/./.lo game ar e a; 

(4+ Creative art area; 

(44 Science discovery ar e a; 

(4+ Mii '. io iir e a, 

(-£4 Sand v , ater area. 
44+ bach child w-41- have tot* opportunity to 
participate to at- least eight e4 the following t*«4- 
door activities each day-r weather permitting: 

(44 Climbing »«4 stretcliing; 

(44 Crawling; 

(4} Sliding; " 

f++ Swinging; 

(4+ Balancing; 

44 Riding; 

(44 Running at%4 jumping; 

(>4 Pulling aft4 pushing; 

(4+ Lifting »«4 budding; 
(444 Digging *h4 pouring; 
(44-+ Throwing, kicking, *h4 rolling. 
(e) 44*t* requirement ', stated m- 4ws Rul e w-44 
i4st> apply to ea#e tot older children who hav e 
special development needs. 

(b) F.ach A A center providing care to children 
aged two years old or older shall comply with the 
requirements for activity areas for preschool-age 
children in Rule .0510 except that all live of the 
activity areas listed in Paragraph (e) of that R ule 
shall be available each Aiv and the activities listed 
in Paragraph (g) of that Rule shall be offered for 
each group of children at least once per week. 

(c) The requirements for activities for infants 
and toddlers set forth in Rule .051 1 shall apply 



to all A A centers providing care to children under 
two years o[ age . 

Statutory Authority G.S. 110-88(7); 143B-I68.3. 

.1613 PARENT PARTICIPATION 

(a) Each center shall have a plan which will 



encourage parent participation and inform par- 
ents about the program and its services. "The 
plan shall be discussed with parents at the time 
the child is enrolled and shall be posted in the 
center or a copy shall be given to parents at the 
time of enrollment. 

(b) 'The plan shall include but not be limited 
to the following: 

( 1 ) (■«+ 444e a procedure for registering a child 

for day care w44 involve which involves 
both parents, or parent substitutes ef 
guardian when possible and which en- 
courages a visit to the center by the child 
and his her parent before the child begins 
attending the center; 

(2) opportunities for earegjving staff to meet 
with parents on a regular basis to discuss 
their child's needs and progress and to 
exchange information about the program; 

(3) activities which provide parents opportu- 
nities to participate in the centers pro- 
gram on an individual basis and as a 
.group; 

(4) a procedure for parents who need infor- 
mation or have complaints about the 
child care program. 

fb4 A child a«4 h+s parent &? parents w444 be 
encouraged to make a pre enrollm e nt visit to 4w» 
4ay- eafe center before the child's fort all day stay. 

(-6+ Parents w44 be giv e n toe opportunity to 
v4+t- the center frequently fof observation »4 toe 
program aft4 their child. 

(44 Parents w*4 be encouraged a«4 given 4w 
opportunity a* individuals aft4 as groups to pea- 
ticipate to. a variety ef ways » toe 4ay eafe pfe- 
gram. 

4*} Individual parent conferences between paf- 

(™! 1 1 5 rtntt t fit? tiiiHr LrtFv btckm '*( luii t*tr ill I itTTTfT?TT era 

needed fof elToctive planning evaluation ef 4*e 
child's 4ay- eafe experiences. 

(44 Day to day informal communication w444 
be encouraged between tot* 4ay eafe stoff an4 
parents. 

Statutory Authority G.S. 110-88(7); I43B-168.3. 

.1614 FAMILY SERVICE PROGRAM 
(REPEALED) 

Statutory Authority G.S. 110-88(7); 1 43 B- 168.1; 
1 43 B- 168.3. 



S62 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



SECTION .1700 - DAY CARE HOME 
STANDARDS 

.1701 GENERAL PROVISIONS RELATED TO 
REGISTRATION OF HOMES 

(a) All child day care homes as defined by R.ul e 
.0102(0) Rule .0102(8) of this Subchapter shall 
register and comply with the standards for regis- 
tration set forth in this Section. 

(e) The provisions of G.S. 1 10-91). 1 which ex- 
clude persons with certain criminal records or 
personal habits or behavior which may be harm- 
ful to children from operating or being employed 
in a child day care home shall also apply to vol- 
unteers, persons living on the premises in which 
the home is located, and other persons who enter 
the home with the operator's permission when 
the children are present. This exclusion shall not 
apply to parents or other persons who enter the 
home only tor the purpose of performing par- 
ental responsibilities. 

(e) (Jj The rules contained in this Section shall 
apply to day care homes in existence or seeking 
registration according to the schedule set forth in 
Sfctffe fer ^ ^ l56(n). SI 19S7. c. 788. s. 
2~> 

Statutory Authority G.S. 110-86(4); 110-88(3); 
110-90.1; 110-101; 110-105.1; 110-106. 1; 143B- 
168.3. 

SECTION .1900 - SPECIAL PROCEDURES 
CONCERNING ABUSE/NEGLECT IN DAY CARE 

.1902 UNANNOUNCED VISITS 

If the county department s( social services sec- 
tion determines the allegation warrants investi- 
gation according to G.S. 7A-544, unannounced 
visits shall be made by a representative of the 
section to the day care center or home within the 
time periods and for the purposes set forth in 
G.S. 1 10405(a)(3) or OS_ 1 10-105. 1(a)(4). 

Statutory Authority G.S. 7A-517(5); 110-88(5); 
110-/05; 1 10-105.) ; 143B-I68.3. 

.1903 INVESTIGATION PROCEDURES 

(a) The investigation shall include interviews 
with the registrant, operator, staff, parents, or any 
other adult who has information regarding the 
allegation. Reports from law enforcement offi- 
cers and other professionals, as well as picture !. 
photographs and other investigative tools, may 



be used as appropriate, 
(b) The section's representative shall h*»4- may 
interview the child or children about the allega- 
tions of abuse or neglect onlv in those cases 



where the county department of social services 
does not conduct an investigation. 

(c) The section shall share information related 
to investigations with departments of social ser- 
vices, as appropriate. However, any information 
subject to confidentiality laws or regulations shall 
be handled so as to preserve the confidential na- 
ture of the material. 

(d) At any time during the investigation, the 
representative of the section may conduct an 
evaluation for compliance with all licensing re- 
quirements. 

(e) The section shall make a written report to 
the licensee/registrant and the county department 
of social services when the investigation is com- 
pleted. The section may also report to law en- 
forcement officers and other professionals that 
were involved in the investigation. This report 
shall explain the section's findings and what fur- 
ther action will be taken, if any. 

Statutory Authority G.S. 7A-543; 110-88(5); 
110-105; 110-/05.1; 143B-168.3. 

.1904 ADMINISTRATIVE SANCTIONS 

(a) 4-4** oonctiono e# Rule .0 ' 102 ef thi* Sub 
chapter ■■ hull apply when: A special provisional 
license or registration may be issued for a six- 
month period when the section determines that 
abuse or neglect occurred in a child day care 
center or home. I'he following provisions shall 
apply: 

f++ the county Department ef Social Servic e s 
substantiate; ! that abuso neglect occurred 
i» the c e nterhome; a«4 
£3) the operator 1 registrant caus e d, knew 
about, Bf should have known about the 
abuse . negl e ct a&4 fail e d t» take appropri 
ate action. 
I 1 ) The special provisional license or registra- 
tion and the reasons for its issuance shall 
be posted in a prominent place in the 
center as soon as they are received by the 
licensee or registrant. 
(2) The special provisional license or registra- 
tion and reasons for issuance shall remain 
posted for the entire six months covered 
by the license or registration, and also 
during the time of any administrative 



proceedings. 
(3) No new children 



ihall be enrolled in the 



(41 



center or home until the section is satisfied 
that the abusive or neglectful situation no 
longer exists and .gives the operator writ- 
ten permission to accept new children. 
A licensee or registrant may obtain an ad- 
ministrative hearing on the issuance of a 
special provisional license or registration 



r 



NORTH CAROLINA REGISTER 



,S63 



PROPOSED RULES 



m accordance mill tlic pro\ imoiis of (i.S. 
15013-23. 
(b) A written warning specifying corrective ac- 
tion to be taken by the operator o\_ the day care 
center or home '. hull may be issued when the in- 
vestigation is concluded and the section deter- 



mines that abuse or neglect occurred in a center 
or home and the situation does not warrant is- 
suance of a special provisional license or regis- 
tration. 

{4-} t+H* count; i Department ©f Social Scrvicco 

j. uh '. lantiak ';. t+K+4- iibu i. L 1 neglect occurred 

i» the center home, ««4 
(-3) tl+e operator registrant d+d- h<*4- cau; . o, d+d- 

not- know iibout, »f should h+*4- have 

Known about tbt» abuse neglect. 

(c) Any violation of the terms of a special 
provisional license or registration may result in 
the assessment of a civil penalty as provided in 
Section .2200 of this Subchapter. 

(d) Failure to implement the corrective action 
plan required b\ a written warning pursuant to 
Gri* 110 SS(6.l") G.S. 110-88(6a) may result in 
the assessment of a civil penalty as provided in 
Section .2200 of this Subchapter and or the issu- 
ance of a special provisional license or registra- 
tion. 

(e) The tvpe of sanction imposed by the section 
shall be determined by one or more of the fol- 



lowing criteria: 



LU 



se\ 



eritv of the incident: 



(2) probability of reoccurrence: 

(3) prior incidents of abuse or neglect in the 
center or home; 

(4| hi st on of compliance with child Jay care 

requirements: 
(5) the section's assessment of the operators 
response to the incident, 
(f) Nothing in this Rule shall rest net the divi- 
sion from using any other statutory or adminis- 
trative penalty available pursuant to G.S. 
1 10-102.2 and Section .2000 of this Subchapter, 
or the provisions in 1 50B-3(c) to summanlv sus- 
pend a license or registration d the health, safety 
or welfare of any child is m jeopardy. 

Statutory Authority G.S. 110-88(5); U0-88(6a); 
143B- 168.3; 150B-3; 1 SOB- 23. 

SECTION .2000 - RULEMAKING AND 
COMES FED (ASK PROCEDURES 

.2006 ADMINISTRATIVE PENALTIES: 
GENERAL PROVISIONS 

(a) Pursuant to G.S. 110-102.2, the secretary 
or his, her designee may order one or more ad- 
ministrative penalties against any licensee or reg- 
istrant who violates any provision of Article 7 of 



Chapter 110 of the General Statutes or of this 
Subchapter. 

(b) Nothing in this Section shall restrict the 
division from using any other statutory or civil 
penalty available. A civil penalty in accordance 
with G.S. 110-103.1 and Section .2200 of this 
Subchapter may be imposed in conjunction with 
any other administrative activity. 

(c) The issuance of an administrative penalty 
may be appealed pursuant to G.S. 150B-23. 

Statutory Authority G.S. 110-102.2; 110-103.1; 
1 43 B- 168.3; 1 50 B- 23. 

.2007 WRITTEN WARNINGS 

(a) A written warning and a request for com- 
pliance may be issued in regard to any violation 
to allow the licensee or registrant an opportunity 
to demonstrate compliance with all requirements. 

(b) The written warning and request for com- 
pliance shall describe the reasons for its issuance 
including identification of the specific section(s) 
of the statutes or rules violated. It shall also de- 
scribe those actions necessary for the licensee or 
registrant to be in full compliance with require- 
ments and shall specify a time period for com- 
pliance to be achieved. 

(c) If the licensee or registrant fails to achieve 
compliance during the specified time period, the 
section shall employ more restrictive action to 
achieve compliance or shall revoke the license or 
registration. 

Statutory Authority G.S. 110-102.2: 1 43 B- 168.3. 

.2008 WRITTEN REPRIMANDS 

(a) An official written reprimand may be issued 
to censure any violation which the section deter- 
mines to have been a brief uncustomary event 
which is unlikely to recur in the ordinary opera- 
tion of the center or home. 

(b) The reprimand shall describe the reasons 
for its issuance including identification of the 
specific scction(s) of the statutes or rules violated. 

(c) The reprimand shall be posted in a promi- 
nent place in the center or home for a period of 
one month from its date of issue. 

Statutory Authority G.S. 110-102.2; 143B-I68.3. 

.2009 PROBATIONARY STATUS 

fa) A license or registration may be place in 
probationary status for a period of time not to 
exceed one year when, in the section s determi- 
nation, violation of any section(s) of the statutes 
or rules has been willful, continual, or hazardous 
to health or safety. 



864 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



(b) The document ordering probation shall 
describe the reasons for its issuance including 
identification of the specific section(s) of the sta- 
tutes or rules violated and shall specify the period 
of probation. It shall also specify terms of pro- 
bation with which the licensee or registrant must 
comply to retain the license or registration. 

(c) The order of probation shall be posted in a 
prominent place in the center or home during the 
probationary period. If probation is stayed 
pending appeal, the probation order shall remain 
posted in the center or home pending final ac- 
tion. 

(d) Failure of the licensee or registrant to 
comply with the terms of probation shall result 
in the commencement of proceedings to suspend 
or revoke the license or registration. 

Statutory Authority G.S. 110-102.2; 1 43 B- 168.3. 

.2010 SUSPENSION 

(a) Suspension of a license or registration for a 
period of time not to exceed 43 days may be or- 
dered when, in the section's determination and 
with the concurrence of the Division of Facility 
Services' Negative Action Review Committee, 
violation of any section(s) of the statutes or rules 
has been willful, continual, or hazardous to 
health or safety, and or the licensee or registra- 
tion has not made reasonable efforts to conform 
to standards. 

(b) The licensee or registrant shall be notified 
in advance of the section's determination to sus- 
pend the license and the reasons for such action. 
The licensee or registrant may request an agency 
review of the situation and shall be given an op- 
portunity to show compliance with all require- 
ments for retention of the license or registration. 

(c) The suspension order shall specify the pe- 
riod of suspension and the reasons for its issu- 
ance. The licensee or registrant shall surrender 
the license or registration to the section of the 
effective date of the suspension order and shall 
refrain from operating a center or home during 
the suspension period. 

(d) If suspension is stayed pending appeal, the 
suspension order shall be posted in a prominent 
place in the center or home pending final action. 

(e) Failure to comply with the suspension order 
shall result in civil action in accordance with G.S. 

10-103.1 and 'or criminal penalty in accordance 
with G.S. 110-103. The section may also seek 
njunctive relief in accordance with G.S. 1 10-104. 

Statutory Authority (7.5. 1/0-/02.2; I43B-16H.3; 
I50B-3. 

2011 REVOCATION 



(a) Revocation of a license or registration may 
be ordered when, in the section's determination 
and with the concurrence of the Division of Fa- 
cility Services' Negative Action Review Com- 
mittee, violation of any section(s) of the statutes 
or rules has been willful, continual, or hazardous 
to health or safety, and/or the licensee or regis- 
trant has not made reasonable efforts to conform 
to standards or is unable to comply. 

(b) The licensee or registrant shall be notified 
in advance of the section's determination to re- 
voke the license and the reasons for such action. 
The licensee or registrant may request an agency 
review of the situation and shall be given an op- 
portunity to show compliance with all require- 
ments for retention of the license or registration. 

(c) The revocation order shall specify the rea- 
sons for its issuance and the effective date of re- 
vocation. The licensee or registrant shall 
surrender the license or registration on the effec- 
tive date of the revocation order and shall refrain 
from operating the center or home thereafter. 

(d) If revocation is stayed pending appeal, the 
revocation order shall be posted in a prominent 
place in the center or home pending final action. 

(e) Failure to comply with the revocation order 
shall result in civil action in accordance with G.S. 
110-103.1 and or criminal penalty in accordance 
with G.S. 110-103. The section may also seek 
injunctive relief in accordance with G.S. 1 10-104. 

(f) The operator may not apply for a new li- 
cense or registration for that facility or home for 
at least 90 days from the effective date of the re- 
vocation order or, when administrative or judicial 
review is requested, from the date the final agency 
decision or judicial determination is rendered, 
whichever is later. 

Statutory Authority G.S. 110-102.2; I43B-168.3; 
I SOB- 3.' 

.2012 SUMMARY SUSPENSION 

(a) Summary suspension of a license or regis- 
tration may be ordered in accordance with G.S. 
150B-3(c) when, in the section's determination, 
emergency action is required to protect the 
health, safety, or welfare of children in a licensed 
day care facility or registered day care home. 

(b) The suspension order shall specify the rea- 
sons for its issuance including identification of 
the specific section(s) of the statutes and rules 
violated and the determination of the need for 
emergency action. The order shall be effective 
on the date specified in the order. The order 
shall be effective during proceedings to suspend 
or revoke the license or registration. 

(c) The licensee or registrant shall surrender the 
license or registration on the effective date of the 



NORTH CAROLINA REGISTER 



S65 



PROPOSED RULES 



order and shall retrain from operating a center 
or home until final action is determined. 

(d) 1 ailure to comply with the summary sus- 
pension order shall result in civil action in ac- 
cordance with G.S. 110-103.1, and or criminal 
penalty in accordance with G.S. 110-103. The 
section mav also seek injunctive relief in accord- 
ance with G.S. 110-104. 

Statutory Authority G.S. 110-102.2; I43B-168.3; 
1S0B-3. 



Statutory Authority G.S. 110-90(9); 1 10-103. 1; 
I43B- 168.3. 

.2205 FAILURE TO PAY ASSESSED PENALTY 

Failure to pay the assessed penalty or to exercise 
appeal rights within the established time period 
mav result in civil action in accordance with the 
provisions of G.S. 1 10- 103. 1(c). 

Statutory Authority G.S. 1 10-90(9); 110-103.1; 
143B- 168.1; 1 43 B- 168.3. 



SECTION .2100 - CIILRCH DAY CARE CENTER 
REQl IREiMENTS 

.2101 (ENTERS OPERATING UNDER 

G.S. 110-106 

(a) Prior tn- he - ginning k* oporato At least 30 
days prior to the first day of operation of a new 
church day care center, the prospective operator 
must shall send a lottor t*f intent te- operata 
"1 etter of Intent to Operate" to the section. 
That letter shall include the name, address, and 
telephone number of the operator and the center, 
if known; the proposed number and age range 
of children to be served; and the center's sched- 
uled opening date. A representative of the sec- 
tion shall contact the prospective operator no 
later than seven calendar days after the Letter of 
Intent is received to advise him her of the appli- 
cable standards requirements and procedures. 

(b) Church day care centers shall comply with 
all day care center standards requirements in this 
Subchapter except for R*0t* 4^m - . 1 )50 1. .07 1 H, 
rt«4 .0706 - .07110. the rules regarding age-ap- 
propriate activities in Section .0500 and Rules 
.0704, .0707 - .0711 and Paragraphs (aj through 
( d ) of Rule .071 5 regarding staff qualifications 
and training requirements. Compliance Vi+H shall 
be documented at least annually using the same 
forms and in the same manner as for all other 
centers. 

(c) The section shall notify the operator in 
writing as to whether the center complies or does 
not comply with the standards, requirements. 

Statutory Authority G.S. 110-106; 143B- 168.3. 

SECTION .2200 - CIVIL PENALTIES 

.2203 NOTICE OF ASSESSMENT OF PENALTY 

The operator w+11 shall be notified by registered 
or certified mail h* personal son-ice of the 
amount of and reasons for the assessment of the 
civil penalty. The notice must shall specify the 
factors used to determine the amount of the 
penalty and must sp e cify a time period by which 
payment must be received by the division. 



SECTION .2400 - DAY CARE FOR SICK 
CHILDREN 

.2401 SCOPE 

Child day care for children who are sick is a 
child care alternative to assist working parents by 
providing short term care for their children when 
they are not well enough to attend their regular 
child care arrangement. This service may include 
care for mild to moderate illnesses or injuries, 
and it may be a primary service or a component 
of another child care arrangement. All regu- 
lations in this Subchapter pertaining to day care 
centers set forth in Rule .0202 and Rule .0203 (b) 
shall apply to centers offering care for sick chil- 
dren except as provided in this Section. 



Statutory 
1 43 B- 168.3. 



Authority G.S. 



110-88(11); 



.2402 DEFINITIONS 

The definitions in Rule .0102 shall apply. Spe- 
cial terms and phrases used in this Section are 
defined as follows: 

( 1) "Center for care of sick children" means a 
center offering care exclusively for sick chil- 
dren on a short term basis. 

(2) "Unit for care of sick children" means a 
special section or area of a child day care 
center in which care is provided for sick 
children on a short term basis. 

(3) "Sick child" means a child who is deter- 
mined by a parent or a medical professional 
to be unable to participate in the routine 
activities in his/her regular child care ar- 
rangement. Routine activities include in- 
door and outdoor activities provided for 
children in groups. 



Statutory 
143B-/6S.3. 



.2403 



Authority 



G.S. 



110-88(11); 



SPECIAL PROVISIONS FOR 
LICENSURE 

(a) A center for care of sick children shall be 
issued a license restricting services to short term 
care for children who are sick or injured. 



866 



SORTH CAROLINA REGISTER 



PROPOSED RULES 



(b) A center which includes a unit for care of 
sick children as a component shall be issued a 
regular license with a rider authorizing provision 
of care for sick children and specifying the ca- 
pacity of that unit. 



Statutory 
1 43 B- 168.3. 



Authority G.S. 



110-88(11); 



.2404 OPERATING POLICIES 

(a) A center for care of sick children must 
comply with all requirements of Section .0800 of 
this Subchapter. 

(b) A center which includes a unit for care of 
sick children as a component may admit children 
who do not regularly attend the center but must 
comply with all requirements of Section .0800 of 
this Subchapter. 

(c) Unless either a licensed physician or a reg- 
istered nurse is on the premises to supervise care, 
children who exhibit any of the following symp- 
toms or conditions shall be excluded from care: 

(1) severe upper respiratory infections undi- 
agnosed by a physician. 

(2) diarrhea, when it is: 

(A) due to confirmed or suspected shigella 
or giardiasis infection; 

(B) accompanied by evidence of dehy- 
dration or fluid loss; 

(C) accompanied by abnormal stools with 
blood or mucous; or 

(D) continues beyond three days. 

(3) persistent vomiting. 

(4) undiagnosed rash. 

(5) sore throat accompanied by a fever over 
102 Fahrenheit. 

(6) fever over 102 Fahrenheit persisting more 
than two days without instructions from 
the child's attending physician. 

(7) untreated parasites. 

(8) children under three months old; and 
children under six months old unless the 
center is given a physician's written state- 
ment that the child's condition has been 
diagnosed and the child may be cared for 
with other sick children. 

(d) A center or unit for care of sick children 
shall have the continuing services of a licensed 
physician as consultant at all times when the 
center is in operation. The name, telephone 
number, and address of the consulting physician 
shall be posted in a conspicuous place for review- 
by parents. 

(e) Prescription medications shall be adminis- 
tered only by persons authorized to do so by 
North Carolina State law. 



(f) A copy of procedures which address the 
following areas shall be available in a conspicu- 
ous place for review by parents and staff. 

(1) control of communicable diseases; 

(2) storage and administration of medications; 

(3) records and reporting; 

(4) requirements for contacting parents when 
a child's condition becomes worse. 

(g) Written instructions regarding medications, 
feeding, and individual care or restrictions shall 
be provided on a daily basis by the parent or the 
child's attending physician or registered nurse. 

(h) Brief written reports shall be provided to 
parents for each child on a daily basis to include 
information about eating, sleeping and toileting 
patterns, medications administered, and activity 
levels. 

(i) Meals and snacks shall be provided in ac- 
cordance with Section .0900 of this Subchapter 
unless instructions from the parent or the child's 
attending physician specify otherwise. 



Statutory 
I43B- 168.3. 



Authority G.S. 110-88(11); 



.2405 PHYSICAL FACILITY AND EQLIPMENT 

(a) Indoor space requirements in Rule .1401 
of this Subchapter shall apply except that addi- 
tional space shall be required for individual 
sleeping areas not to be included as primary 
space. Physical dividers shall be available to se- 
parate each individual sleeping area which shall 
be at least 20 square feet. A center which in- 
cludes a unit for care of sick children as a com- 
ponent shall ensure that indoor space designated 
for use by sick children is not used by other 
children and staff in the center. 

(b) Each center providing care to sick children 
shall provide at least 75 square feet of outdoor 
play space for 50 percent of its authorized ca- 
pacity for sick children except that a center serv- 
ing sick children exclusively may provide 20 
square feet of indoor play space per child for the 
number of children the center is authorized to 
serve in addition to that required in Paragraph (a) 
in lieu of outdoor space. A center which includes 
a unit for care of sick children shall ensure that 
outside play for children who are sick is sched- 
uled at a time when well children are not using 
the outdoor space. 

(c) A cot constructed of vinyl material easily 
washed and sanitized or a crib or bed equipped 
with a firm waterproof mattress at least 4" thick 
which is easily washed and sanitized shall be 
provided for each child. The center or unit shall 
provide linens which shall be laundered and sa- 
nitized daily for each child. 



NORTH CAROLINA REGISTER 



H67 



PROPOSED RULES 



(d) bach child shall he assigned the same cot, 
crib, or bed for the duration of attendance, and 
the cot, crib, or bed shall be washed and sanitized 
before being assigned to a new child. 

(e) At least one commode and one handwash- 
ing sink shall be available for every ten children 
and shall be located in the room where the chil- 
dren are cared for. In a center providing a unit 
for care of sick children, the toilet area shall be 
separated from toilet areas used by other chil- 
dren. 

(f) Toys and other play materials shall be 
washed and sanitized daily or between use by 
different children. 



Statutory 
143B-I6S.3. 



Authority 



G.S. 



110-88(11); 



.2406 STAFFING REQUIREMENTS 

(a) The staff child ratios and maximum group 
sizes for a center or unit providing care to sick 
children shall be as follows: 

Ace of Children Number of Staff 



3 mos. to 3 years 




1 


3 to 6 years 




1 


6 years and older 




1 


Number of Children 

4 




Group Size 

8 


5 




10 


6 




12 


Number of Staff 




I 






2 






2 





(b) One additional person shall always be on 
call and immediately available. In a center for 
care of sick children, the on call person may be 
the administrator. For a unit in a center, the on 
call person may be the administrator or a care- 
giver from the regular program who is not 
counted toward compliance with minimum 
staff child ratio requirements. 

(c) Staff requirements prescribed in Section 
.0700 of this Subchapter shall apply except that, 
in addition, one person shall be on the premises 
who meets one of the following requirements: 

(1) Be a registered nurse or a licensed practical 
nurse with one year of experience working 
with young children; and 

(2) Have successfully completed training in 
the areas of communicable disease con- 
trol, have current certification in first aid 
and cardiopulmonary resuscitation for 
children, and have two years of experience 
working with children. 



(d) In a center providing care exclusively to sick 
children, one caregiver or the person supervising 
the caregivers shall be a registered nurse. 



Statutory 
143 B- 168.3. 



Authority G.S. 110-88(11); 



.2407 ACTIVITIES FOR SICK CHIUDREN 

(a) Daily activity requirements for a large child 
day care home set forth in Section .2600 of this 
Subchapter shall apply and shall be provided ac- 
cording to a flexible plan to meet individual 
needs. 

(b) Eating, toileting, and sleeping or resting 
shall be individually determined and flexible to 
allow each child to decide when and whether to 
participate in available activities and to nap or 
rest at any time without disturbance from other 
children. 



Statutory 
1 43 B- 168.3. 



Authority G.S. 110-88(11); 



SECTION .2500 - DAY CARE FOR 
SCIIOOU -AGE CHIUDREN 

.2501 SCOPE 

The regulations in this Section apply to large 
day care homes and all child day care centers of- 
fering care to six or more school-age children 
exclusively or as a component of any other pro- 
gram. All regulations in this Subchapter per- 
taining to full-time, part-time, or seasonal child 
day care shall apply to programs for school-age 
children except as provided in this Section. 

Statutory Authority G.S. 110-86(3); 110-91; 
1 43 B- 168.3. 

.2502 SPECIAL PROVISIONS FOR 
LICENSURE 

(a) A center providing care for school-age 
children exclusively shall be issued a license re- 
stricting care to school-age children as defined in 
Rule .0102 of this Subchapter and may be li- 
censed as a summer day camp if operated on a 
seasonal basis between May 15 and September 
15. 

(b) A center which provides care for preschool 
children and for more than ten school-age chil- 
dren shall be issued a license with a rider au- 
thorizing care for school-age children. 



Statutory- A uthority 
1 43 B- 168.3. 



G.S. 110-88(1); 110-91; 



.2503 BLIUDING CODE REQUIREMENTS 

(a) Building code requirements adopted by re- 
ference in Section .1300 of this Subchapter shall 



S6S 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



apply for a center providing care to school-age 
children when an)' preschool-age child is also in 
care. 

(b) Any building which is currently approved 
for school occupancy and which houses a public 
or private school during the school year shall be 
considered an approved building to house a cen- 
ter serving school-age children exclusively. The 
operator shall be responsible for obtaining and 
submitting copies of all applicable inspection re- 
ports. 

(c) lor the purpose of carrying out the pro- 
visions of G.S. 110-91(4) for school-age care ar- 
rangements not covered by Paragraphs (a) or (b) 
of this Rule, the North Carolina Building Code 
requirements for school-age child care centers 
and summer day camps are hereby adopted by 
reference by the Child Day Care Commission. 
A copy of the North Carolina Building Code is 
on file at the Child Day Care Section at the ad- 
dress given in Rule .0102 of this Subchapter and 
shall be available for public inspection during re- 
gular business hours. 

Statutory Authority G.S. 110-88(2); 110-91(4); 
143B-16S.3. 

.2504 SPACE REQUIREMENTS 

(a) All space requirements specified in Section 
.1400 apply when a center provides care for 
school-age children and any preschool child is 
also in care, or when a program which provides 
care exclusively for school-age children routinely 
operates indoors in a permanent structure for 
more than 50 percent of each day. 

(b) If a center provides after-school care or 
drop-in care only, the center may choose to 
comply with the requirements in Section .1400 
of this Subchapter or may choose to provide 35 

quare feet per child of indoor space in lieu of the 
outdoor play area as long as no child remains in 
care for more than a four-hour period per day. 

c) A center licensed as a summer day camp 
shall have a permanent structure that serves as its 
home base where parents deliver and pick up 
their children each day and may choose one of 
the following space requirements: 

(1) When activities for children are routmely 
conducted outdoors or off the premises 
for at least 50 percent of each day, a min- 
imum of ten square feet per child of in- 
door space, exclusive of kitchens, 
hallways, restrooms, closets, and storage 
areas, shall be provided. 

(2) When the camp's home base does not 
provide ten square feet of primary space 
indoors, the camp shall provide notarized 
copies of all letters, agreements, or con- 



tracts with other facilities which guarantee 
that children will be accommodated com- 
fortably indoors in the event of inclement 
weather. 

Statutory Authority G.S. 110-9/(3), (6); I43B- 
16S.3. 

.2505 HEALTH REQUIREMENTS FOR 
CHILDREN 

(a) All requirements of Section .0800 of this 
Subchapter apply to school-age child care ar- 
rangements with the following exceptions: 

(1) A medical examination report shall not 
be required for any child enrolled in an 
accredited public or private school. 

(2) A statement signed by the public or pri- 
vate school principal or his designee at- 
testing to the presence of a complete 
immunization record in the school files 
may be substituted for a record of im- 
munizations. 

(3) Rule .0806 does not apply. 

(b) All requirements specified in Section .0900 
of this Subchapter apply when any preschool 
child is in care or when food is provided by the 
center or summer day camp. 

(c) If food is prepared at the summer day camp, 
the regulations regarding sanitary facilities, food 
preparation and service for summer camps as 
adopted by the Health Services Commission and 
codified in 10 NCAC 10A .1000 shall apply. 

(d) If food is brought from home by children 
or catered, the following requirements apply: 

( 1 ) Refrigerated storage space shall be pro- 
vided for snacks or lunches brought from 
home. 

(2) Fresh water shall be made available at all 
times regardless of where activities are 
provided. 

Statutory Authority G.S. 110-91(1), (2); 143B- 
168.3. 

.2506 GENERAL SAFELY REQUIREMENTS 

(a) First aid equipment shall always be avail- 
able regardless of where activities are provided. 

(b) All regulations in Rule .1403 regarding 
swimming pools apply. 

(c) Archery equipment, power equipment and 
other potentially hazardous items shall be stored 
in a locked area when not in use or with other 
appropriate safeguards. These items shall be 
used by children only under the direction and 
supervision of staff. 

(d) All equipment, materials and facilities used 
by children shall be in good repair, of safe design, 
and properly installed. 



r 



NORTH CAROLINA REGISTER 



869 



PROPOSED RULES 



Statutory Authority G.S. 110-91; I43B-168.3. 

.2507 OPERATING POLICIES 

(a) Written permission from parents shall be 
obtained before transporting children on field 
trips or leaving the premises. 

(b) Blanket permissions from parents for field 
trips or leaving the premises are acceptable only 
when a schedule of activities to be conducted off 
the premises is posted in a conspicuous place for 
review by parents and staff in advance on a 
weekly basis. The schedule shall include the lo- 
cation, purpose, time and date, person in charge, 
and telephone number or method for contacting 
the person in charge. 

(c) Cots, beds, or mats with linens shall not be 
required for school-age children. However, pro- 
vision shall be made for children who wish to rest 
or who are sick to rest in a comfortable place. 

Statutory Authority G.S. 110.91; 143B-168.3. 

.2508 AGE APPROPRIATE ACTIVITIES 

(a) The requirements for age appropriate ac- 
tivities and materials set forth in Rules .0506 - 
.0510 shall apply to school-age programs which 
operate for more than three hours per day and 
which routinely operate a program of care in- 
doors for more than 50 percent of each day in 
space designated, and which has been approved 
by the section, for that purpose. 

(b) Child day care centers which provide care 
to school-age children for no more than three 
hours per day shall provide equipment, materials 
and opportunities for at least three of the types 
of activities listed in Rule .0510(d). Activity ar- 
eas shall be used where feasible. 

(c) Each center shall also have materials and 
equipment to make the following activities avail- 
able at least once per month: dramatic play, 
carpentry and construction, music and rhythm, 
and science and nature activities. 

(d) All equipment and materials used by 
school-age children shall be appropriate for the 
age and size of the children using the items. 

Statutory Authority G.S. 110-91(6), (12); 
1 43 B- 168.3. 

.2509 ACTIVITIES: OFF PREMISES 

(a) The requirements of this Rule apply when 
activities for children are routinely conducted 
outdoors or off the premises for at least 50 per- 
cent of each day. 

(b) The center shall develop a schedule of ac- 
tivities which is posted in the home base or given 
to the parents. 



(c) The schedule shall be current and shall 
contain the information listed in Rule .2507(b). 

(d) Activities shall be planned to accommodate 
a variety of individual interests and shall provide 
opportunities for choice. 

(e) Each center or day camp shall provide items 
for each of the following types of activities: art 
and other creative materials, age appropriate 
books, manipulative materials, board or card 
games and other similar items, dramatic play 
materials, and sport or other active play equip- 
ment. The center or camp shall provide these 
materials in sufficient quantity to allow at least 
three children to choose the same type of activity. 



Statutory Authority 
I '43 B- 168.3. 



G.S. 110-91 (6 J, (12); 



.2510 STAFF QUALIFICATIONS 

(a) The staff requirements in Section .0700 
shall apply to any school-age program which is 
operated on a full year basis as a unit of a center 
which also provides care to preschool-age chil- 
dren. 

(b) Each day camp or before after-school pro- 
gram shall have an administrator on site who is 
at least 21 years old and has at least one year of 
full-time experience or two summers' experience 
working with school-age children in a day care 
or day camp setting. 

(c) There shall be at least one staff person who 
is at least 18 years old and literate for each group 
of 25 children present; or when 16 and 17 year 
old persons are counted in the staff, child ratio, 
there shall be at least two such staff persons with 
each group of 25 children present. 

(d) The special training requirements in Rule 
.0705 shall apply to all programs for school-age 
children. 

(e) Whenever swimming or other aquatic ac- 
tivities occur on site, these activities shall be su- 
pervised by at least two persons who have an 
American National Red Cross Advanced Life 
Saving Certificate or its equivalent. 

(f) All staff shall participate in at least six hours 
of documented orientation related to the pro- 
gram's policies, activities and child safety prior to 
assuming responsibility for supervising a group 
of children. 

(<:) The health requirements for staff and vol- 
unteers in Rule .0701 - .0702 shall apply. 

Statutory Authority G.S. 110-91(8), (11); 
1 43 B- 1 68. 3. 

SECTION .2600 - REQl IREMENTS FOR LARGE 
DAY CARE HOMES 



S 7 



SORTH CAROLINA REGISTER 



PROPOSED RULES 



.2601 SCOPE 

The Rules in this Section apply to large child 
day care homes. A large child day care home or 
large home shall provide care to no more than 
12 children when any preschool-age child is in 
care, or when all children present are school-age, 
to no more than 15 children. All children pres- 
ent, including the operator's own children, shall 
be included in the maximum number of children 
allowed to be present. 

Statutory Authority G.S. 110-86(3 J; 143B- 168.3. 

.2602 GENERAL PROVISIONS FOR 
LICENSURE 

(a) The provisions contained in Section .0200 
for licensing child day care centers shall apply to 
large homes. 

(b) The individual legally responsible for the 
operation of the home shall apply for a license 
and for annual renewal of the license using forms 
provided by the section. 

(c) The applicant operator is responsible for 
arranging for inspections of the home by the local 
sanitarian, building and fire safety inspectors in 
accordance with the provisions of Rules 0302(b) 
and .0303(a). 

(d) The applicant operator is responsible for 
compliance with all other state laws and local 
ordinances which apply to the operation of a 
child day care facility. 

(e) When the operator of a large home has de- 
monstrated compliance with all applicable re- 
quirements, a license shall be issued for a period 
of time not to exceed twelve consecutive months. 

(f) When a large home does not comply in ev- 
ery respect with the licensing requirements, and 
the section determines that the 
applicant/operator is making a reasonable effort 
to comply, the section may issue a provisional 
or a temporary license in accordance with the 
provisions of Section .0400. 

Statutory Authority G.S. 1/0-88; J/0-93; 143B- 
168.3. 

.2603 LICENSING PROCESS 

(a) A representative of the section shall make 
one or more announced visits to the home to 
determine compliance with the requirements 
prior to issuance of the initial license. 

(b) Before the initial license is issued, the ap- 
plicant must demonstrate compliance in the fol- 
lowing manner: 

(1) The applicant shall submit a completed, 
signed application to the section. 

(2) The applicant shall make written infor- 
mation available to verify compliance 



with the requirements for emergency care 
plans, discipline policy, daily schedules, 
and a description of activities. 

(3) The applicant shall provide documenta- 
tion of his/her and any other staff's con- 
currence with the requirements for staff 
education and experience, health condi- 
tion and, if requested, minimum age. 

(4) The applicant shall provide information 
which demonstrates how compliance will 
be achieved with the requirements for re- 
cords of children's health conditions, im- 
munizations, and emergency information, 
daily attendance and records of monthly 
fire drills. 

(5) The applicant shall have available or pro- 
vide a description of his/her plans to ob- 
tain equipment and play materials in 
sufficient quantity to comply with the re- 
quirements for age-appropriate activities. 

(6) The applicant shall ensure that approved 
fire, building and sanitation reports are 
obtained and provided to the section. 

(c) A representative of the section shall meas- 
ure floor space in the part of the home which is 
used for day care to assure compliance with the 
space requirements. 

(d) If the large home is found to be in compli- 
ance with the applicable requirements of G.S. 
1 10 and this Section, a license shall be issued. 

(e) If the large home is not in compliance with 
the requirements, the section may issue a provi- 
sional or a temporary license or may deny the 
application. 

Statutory Authority G.S. 110-88; 110-92; 143B- 
168.3. 

.2604 LICENSE RENEWAL PROCESS 

(a) Fach large home operator shall apply for 
renewal of the license annually according to the 
procedures described in Rule .0303(a). 

(b) The operator shall submit a completed, 
signed application for renewal and approved in- 
spection reports to the section at least 30 days 
before the expiration date of the current license. 

(c) A representative of the section shall make 
one or more announced visits to the home to 
determine compliance with the requirements. 

(d) If the section determines that the home 
continues to comply with all applicable require- 
ments, a new license shall be issued to the home 
operator. 

(e) If the section determines that the home does 
not comply with all requirements, the section 
may issue a provisional license or may deny the 
application for renewal. 



NORTH CAROLINA REGISTER 



871 



PROPOSED RULES 



Statutory Authorit) 
168.3. 



G.S. 110-88; 110-93; I43B- 



.2605 MAINTAINING COMPLIANCE 

(a) l : ach large home operator is expected to 
maintain compliance with all the requirements 
for licensure at all times. 

(b) If a representative of the section documents 
noncompliance with any requirement in a li- 
censed large home, the home operator shall be 
given written notification of the area of non- 
compliance and the action needed to correct it. 
Unless conditions in the home pose an immedi- 
ate threat to the health or safety of the children, 
the home operator will be given a reasonable 
period of time to correct the noncompliance. 

(c) If the home operator fails to comply or fails 
to achieve compliance within the specified time 
period, the section may initiate appropriate ad- 
ministrative action in accordance with the rules 
for administrate penalties in Section .2000. 

(d) The operator may appeal such action in 
accordance with the provisions of G.S. 150B-23. 

Statutory Authority G.S. 110-88; 110-98; 143B- 
168.3. 

.2606 STAFF REQUIREMENTS 

(a) The operator of a large home shall be the 
person who is on site and has the primary re- 
sponsibility for the daily operation of the day 
care home. 

(b) The operator shall be at least 21 years old 
and literate and shall have completed at least one 
year of full-time carcgiving experience in a child 
day care home or center. 

(c) All other staff required to meet the 
staff child ratios specified in Rule .2607 shall be 
at least 16 years old and literate; and if less than 
18 years old, shall work under the direct super- 
vision of the operator or other staff person who 
is at least 21 years old. 

(d) No one who is under the age of 18 years 
shall be left in charge of the home or shall be 
solely responsible for the care of children. 

(e) All staff shall meet the health standards for 
staff set forth in Rule .0701 of this Subchapter. 

(f) The operator of each large home shall 
comply with the special training requirements 
regarding recognition of infectious diseases and 
first aid training prescribed by Rule .0705 in this 
Subchapter. 

(g) The operator and each staff person required 
to meet the staff child ratio shall participate in a 
minimum ot 20 hours of inscrvice training annu- 
ally. The content of the training shall be directly 
related to the care of children and shall meet the 
criteria of Rule .0708. 



Statutory Authority G.S. 110-86(3); 110-91(8), 
(II); I43B-168.3. 

.2607 STAFF/CHILD RATIOS AND 
SUPERVISION 

(a) The staff-child ratios and group sizes for a 
large child day care home are as follows: 
Age of Children Number of Children 
to 2 years 5 

to 13 years 6 

2 to 5 years 8 

3 to 5 years 12 
School-aged 15 



Nun 


ber of 5 
1 


taff 


Or 


3up Size 






12 




1 






12 




1 






12 




1 






12 




1 






15 



(b) When more than two children under the 
age of two years are in care, a second caregiver 
shall be present whenever the total number of 
children present exceeds the maximum capacity 
for a small child day care home. 

(c) When only one caregiver is required to meet 
the staff child ratio, the operator shall make 
available to parents the name, address and phone 
number of an adult who is nearby and available 
for emergency relief. 

(d) Children shall be adequately supervised at 
all times. All children who are not asleep or 
resting shall be visually supervised. Children 
may sleep or rest in another room so long as a 
caregiver can hear them and respond imme- 
diately. 

Statutory Authority G.S. 110-86(3); 110-91(7); 
143B- 168.3. 

.2608 AGE APPROPRIATE ACTIVITIES AND 
EQUIPMENT 

(a) Fach large home shall have a written sche- 
dule posted for easy reference by parents and 
caregivers. 

(b) The schedule shall show blocks of time 
usually assigned to types of activities and shall 
indicate a balance between periods of active play 
and periods of quiet play or rest. The activities 
and allotted times reflected in the schedule shall 
be appropriate for the ages of the children in care. 

(c) When children two years old or older are in 
care, the schedule shall also reflect daily oppor- 
tunities for both free-choice and caregiver-di- 
rected activities. 



8^2 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



(d) Each home providing care to children aged 
two years and older shall have equipment and 
materials available on a daily basis. The equip- 
ment and materials shall be appropriate for the 
age and size of the children in care. 

(e) I Iomc-made equipment and materials may 
be used if they arc safe and functional. 

(f) Each large home shall have items for each 
of the following types of activities: art and other 
creative play materials; children's books; mani- 
pulative toys; and dramatic play materials. The 
home shall have materials and equipment in suf- 
ficient quantity to allow at least three children to 
choose the same type of activity. 

(g) The home shall make equipment and ma- 
terials available for at least three of the activities 
designated in Paragraph (f) of this Rule each day. 
A variety of toys and materials in sufficient 
quantity to allow at least three related activities 
to occur at the same time shall be easily accessi- 
ble to the children. 

(h) Age appropriate equipment and materials 
shall be provided for a variety of outdoor activ- 
ities which allow for vigorous play and large 
muscle development. Each child shall have the 
opportunity for outdoor play each day that 
weather conditions permit. The home shall 
provide space and time for vigorous indoor ac- 
tivities when children cannot play outdoors. 

(i) The requirements for activities for infants 
and toddlers as specified in Rule .0511 of this 
Subchapter shall also apply to large homes which 
provide care to children under two years of age. 

Statutory Authority G.S. 110-86(3); 110-91(6), 
(12); I43B- 168.3. 

.2609 OTHER CAREGIVING REQUIREMENTS 

(a) Meals and snacks shall be served in ac- 
cordance with the requirements of Section .0900 
of this Subchapter except that Rules 0901(b) and 
.0902(a) do not apply. 

(b) All food shall be prepared and served in a 
sanitary manner. All food shall be served on an 
individual sanitary plate or other appropriate 
container. Snack foods may be placed on an in- 
dividual napkin or paper towel. No food shall 
be placed directly on a countertop, table top or 
other such surface. 

(c) Children shall not be fed with the same 
utensil nor drink from the same cup or glass. 

(d) The requirements related to written disci- 
pline policies and inappropriate discipline tech- 
niques as specified in Rule .1801 shall apply to 

arge homes. 

(e) Diapers shall be changed whenever they are 
soiled or wet. 



(f) Children shall be toilet trained according to 
individual readiness. 

(g) Each preschool-age child shall be given time 
and a place to rest or nap comfortably each day. 
Each preschool-age child shall have an individual 
bed, crib, cot or two-inch mat with clean linens. 

(h) A comfortable place with clean linens shall 
be made available to each school-aged child who 
wants to rest or who is ill. 

Statutory Authority G.S. 1/0-9/(1), (2), (10); 
I43B-168.3. 

.2610 HEALTH AND EMERGENCY CARE 
REQUIREMENTS 

(a) The large home shall have on file medical 
statements and records of immunizations for 
each child in accordance with the provisions of 
G.S. 110-91(1). 

(b) The home shall have the following infor- 
mation in written form for each child in care, in- 
cluding drop-in, part-time and part-day children. 
The information shall be on file from the first day 
the child attends and shall be easily accessible to 
caregiving staff. 

(1) The child's full name, date of birth, aller- 
gies, if any, any chronic illness the child 
may have, any medication the child may 
be taking; and any special fears or behav- 
ior characteristics that could affect the 
child's care. 

(2) The names of individuals to whom the 
child may be released. 

(3) Emergency medical care information to 
include the name, address and telephone 
number of the parent or other person to 
contact in an emergency; the name and 
telephone number of the child's physician; 
and name of preferred hospital. 

(4) A statement signed by the child's parent 
or guardian authorizing the home opera- 
tor to obtain emergency medical attention 
for the child. 

(c) Each large home shall complete a form 
provided by the section which describes the pro- 
cedures for obtaining emergency medical care for 
Staff and children. The following information 
shall be included: 

(1) The name, address and telephone number 
of a physician, other health professional 
or local health agency which is available 
to provide medical consultation. 

(2) The name and telephone number of the 
local emergency medical service. 

(3) Designation of a means of transportation 
which is always available in the event of 
an emergency. 



NORTH CAROLINA REGISTER 



873 



PROPOSED RULES 



(4) The name, address, and phone number of 
the person who has agreed to be available 
to provide emergency relief when the 
conditions stated in Rule .2607(c) exist. 

(d) Each large home shall have a working tele- 
phone on the premises which is always accessible 
to caregiving staff. Telephone numbers for the 
fire department, law enforcement office, emer- 
gency medical service, poison control center and 
emergency relief person, when required, shall be 
posted near the telephone. 

(e) Administration of medications shall be in 
accordance with the provisions of Rule .0S03. 

(f) The home may provide care to children with 
infectious or contagious diseases only if it com- 
plies with the requirements for the care of sick 
children set forth in Section .2400. 

Statutory Authority G.S. 110-91(1); 143R-16S.3. 

.261 1 PHYSICAL FACILITY AND SPACE 
REQUIREMENTS 

(a) Each large home shall comply with the 
North Carolina Building Code requirements for 
small group day care facilities caring for 6-15 
children pursuant to G.S. 110-91(4) and Rule 
.1303 of this Subchapter. 

(b) Each large home shall be inspected prior to 
the issuance of the initial license and at least an- 
nually thereafter by a local fire safety official for 
compliance with fire safety measures. 

(c) Each large home shall be inspected prior to 
issuance of the initial license and at least annually 
thereafter by a sanitarian for compliance with 
appropriate sanitation requirements as codified 
in Section .1200. 

Id) Large homes shall not be required to have 
commercial kitchen equipment. 

(e) Large homes shall not be required to have 
separate handwashing facilities for staff or sepa- 
rate flush areas for diapers. However, the dia- 
pering area shall be located close to a 
handwashing lavatory which is not in the 
kitchen. 

(f) The home shall have at least two remotely 
located exits directly to the outside 

(gl Eirearms and other weapons on the prem- 
ises shall be secured so that they are inaccessible 
to the children. 

(h) Each large home shall have at least 25 
square feet of indoor space for each child for 
which the home is licensed. The indoor space 
shall be measured by a representative of the sec- 
tion and shall include only those areas of the 
home which are routinely made available to the 
children. The indoor space shall not include 
closets, bathrooms, storage areas, utility rooms, 
kitchens or space occupied by furniture or 



equipment that is not used by the children. The 
dining area of a kitchen may be counted if it is 
routinely used for children's activities in addition 
to eating. 

(i) Each large home shall have an outdoor play- 
area which provides at least 75 square feet of play 
area for each child present. The play area shall 
be fenced or afford adequate protection by some 
other means as determined by the section. 

(j) The outdoor play area shall be free of 
equipment, litter, animals and other objects 
which may be hazardous to children. 

(k) The requirements set forth m Rule .1403 for 
the use of swimming pools on or off the premises 
shall apply to large homes. 

Statutory Authority G.S. 110-86(3); 110-91(3), 
(4), (5), (6); 143B- 168.3. 

.2612 TRANSPORTATION RHQLIREMENTS 

(a) The requirements set forth in Rule 
.1717(a)(4) for transportation of children m child 
day care homes shall apply to large homes. 

(b) In addition, the staff child ratios in Rule 
.2607 of this Section shall be maintained. If 
children under age two are being transported, the 
driver shall not be counted in the staff child ratio. 

Statutory Authority G.S. 1/0-86(3); 110-91(13). 
****************** 



No 



otice is hereby given in accordance with G.S. 
1 SOB- 12 that the Director of the Dhision of Men- 
tal Health, Mental Retardation and Substance 
A buse Services intends to amend regulations cited 
as 10 SCAC 14C .1115(f)(5), (6) and 
.1128(e)(9). 



Th 



he proposed effective date of this action is June 
I, 1988. 



1 he public hearing will be conducted at 10:30 
a.m. on March P, 1988 at Administration Build- 
ing. Room 3/06T, 116 West Jones Street, Ra- 
leigh, N.C. 27611. 

C ommenl Procedures: Any interested person 
may present his her comments by oral presentation 
or by submitting a written statement. Persons 
wishing to make oral presentations should contact: 
Jan Warren, Dhision of Mental Health, Mental 
Retardation and Substance Abuse Senices, 325 
N. Salisbury Street, Raleigh, N.C. 27611, (919) 
733-7971 by March 17, 1988. The hearing record 
will remain open for written comments from Feb- 



8~4 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



ruary 15, 1988 through March 17, 1988. Written 
comments must be sent to the above address. 
Fiscal information on these rules is also available 
from the same address. 

CHAPTER 14 - MENTAL HEALTH: GENERAL 

SUBCHAPTER 14C - GENERAL RLLES 

SECTION .1 100 - STATE AND FEDERAL 
11 NDS ADMINISTERED 

.1 115 FUNDING GROUP HOMES FOR 
MENTALLY RETARDED ADULTS 

(f) Programs may spend funds for group homes 
for mentally retarded adults for the following: 

(5) the purchase, construction and or or al- 
teration, improvement or repair of a facil- 
ity by the area program or a non-profit 
hoard with division approval with the ex- 
ception of proirrams participating in fed- 
eral Department of 1 lousing and Urban 
Development (HID) Sect urn 202 projects 
which shall follow the requirements spec- 
ified in (f)(6) of this Rule. The program 
shall meet the following requirements: 

(6) to participate in a federal Department of 
Housing and I iban Development (1 11 D) 
Section 202 project (12 U.S.C. $1701q) for 
the purchase, construction or alteration, 



improvement or repair of a group home 
with division approval. The program 
shall meet the following requirements: 

(A) The area program may request funds 
for this project from the division. The 
division may participate in the 1 111) Sec- 
tion 202 project contingent upon the 
availability of state funds. 

(B) The area program shall sign a legally 
binding contract with a private non-profit 
agency to specify that if the group home 
ceases to be used in the delivery of services 
to the clients, the private non-profit 
agency shall reimburse the division ac- 
cording to the following requirements: 

(i) If the group home is sold, it should 
be sold at the current fair market value 
as determined by two independent ap- 
praisals acceptable to the division and 
the division shall he reimbursed a pro 
rata share of the selling price o| the 
.group home based on the contribution 
made by the division m the purchase, 
construction, or alteration, improve- 
ment or repair of the group home. 

(ii) It the group home b retained bv the 
private non-profit agency, the division 
shall be reimbursed a pro rata share of 



the current fair market value of the fa- 
cility as determined by two independent 
appraisals acceptable to the division 
based on the contribution made by the 
division in the purchase, construction, 
or alteration, improvement or repair of 
the group home. 
(C) The area program shall maintain a re- 
cord which reflects the amount of con- 
tribution made by the state for purchase, 
construction, and or alteration, improve- 
ment or repair to the group home. 



Statutory Authority G.S. 
I22C-141; 122C-147. 



128 



122C- 112(a) (6); 



APARTMENT LINING FOR MENTALLY 
RETARDED ADULTS 

(e) Programs may spend funds for apartment 
living for mentally retarded adults for the follow- 
ing: 

(9) to participate in a federal Department of 
Housing and Urban Development (HUD) 
Section 202 project (12 U.S.C. §1701q) for 
the purchase, construction or alteration, 
improvement or repair of a facility with 
division approval. The program shall 
meet the following requirements: 

(A) The area program may request funds 
for this project from the division. The 
division may participate in the HUD Sec- 
tion 2112 project contingent upon the 
availability of state funds. 

(B) The area program shall sign a legally 
binding contract with a private non-profit 
agency to specify that if the facility ceases 
to be used in the delivery of services to the 
clients, the private non-profit agency shall 
reimburse the division according to the 
following requirements: 

til it tll£ facility is sold, it should be sold 
at the current fair market value as de- 
termined by two independent appraisals 
acceptable to the division and the divi- 
sion shall be reimbursed a pro rata 
share of the selling price of the facility 
based on the contribution made by the 
division in the purchase, construction, 
or alteration, improvement or repair of 
the facility. 

(ii) If the facility is retained by the private 
non-profit agency, the division shall be 
reimbursed a pro rata share of the cur- 
rent fair market value of th£ facility as 
determined bv two independent ap- 
praisals acceptable to the division based 
on the contribution made by the divi- 
sion in_ the purchase, construction, or 



NORTH CAROLINA REGISTER 



S75 



PROPOSED RULES 



alteration, improvement or repair of the 

facility. 
((') The area program .shall maintain a re- 
cord which reflects the amount of con- 
tribution made by the state for purchase, 
construction, or alteration, improvement 
or repair to the taeilitv. 



Statutory A uthority 
I22C-I4' 7 . 



G.S. I '22C- 112(a) (6); 



■Xic-k-kic-k-k'k'k'k-k-k'k-k-k-k'k'k 



No 



otice is hereby given in accordance with G.S. 
1 SOB- 1 2 that the Department of Human 
Resources Division of Medical Assistance intends 
to adopt regulations cited as 10 SCAC 26L .000/ 
- .0003. 



Th 



he proposed effective dale of this action is June 
I. 19S8. 



Th 



he public hearing will be conducted at 1:30 
p.m. on March 16. 1988 at North Carolina Divi- 
sion of Medical Assistance. 1985 L'mstead Drive, 
Room 201. Raleigh. S.C. 27603. 

C_ omtnent Procedures: Written comments con- 
cerning this adoption must be submitted by March 
16. 1988 to: Director, Division of Medical Assist- 
ance. 1985 Umstead Drh-e. Raleigh. N.C. 27603. 
Oral comments may be presented at the hearing. 
In addition, a fiscal impact statement on each of 
these proposed rides is available upon written re- 
quest from the same address. 

CHAPTER 26 - MEDICAL SERVICES 

SUBCHAPTER 261. - QUALIFIED PROVIDERS 

.000! DEFINITION 

A provider qualified to make presumptive de- 
terminations of Medicaid eligibility for pregnant 
women must meet the conditions required by the 
Social Security Act as amended by P.L. 99-509 
and sign a written agreement with the Division 
of Medical Assistance (DMA). 

Authority G.S. 108A-25(b); 1987 Session Laws, 
c. 738: P.L. 99-509. 

.0002 AGREEMENT 

(a) The provider must agree to participate in 
training offered by the Division of Medical As- 
sistance (DMA) or its agents and to make pre- 
sumptive eligibility determinations based on the 
procedures and guidelines issued by the DMA. 



(b) The DMA may terminate the provider's 
agreement and authority to make presumptive 
determinations if the provider fails to make re- 
quired referrals within five days or fails to follow 
procedures and guidelines resulting in eligibility 
denials for a majority of the provider's referrals. 

(c) Termination of the agreement will occur 30 
calendar days following notification when termi- 
nation is initiated by the DMA. 

Authority G.S. l08A-25(b); 1987 Session Laws, 
c. 738; P.L. 99-509. 

.0003 PRESUMPTIVE DETERMINATIONS 

(a) Presumptive determinations of eligibility 
shall apply only to pregnant women whose fam- 
ily income does not exceed the federal poverty 
guidelines as revised annually. 

(b) Only one presumptive determination of el- 
igibility during a single pregnancy may be made 
by the same qualified provider. 

(c) A presumptive determination of eligibility 
may be made by a different qualified provider if 
the provider has no knowledge of a prior deter- 
mination. 

Authority G.S. 10SA-25(b); 1987 Session Laws, 
c. 738; P.L. 99-509. 

TITLE 15 - DEPARTMENT OF NATURAL 

RESOURCES AND COMMUNITY 

DEVELOPMENT 

iV otice is hereby given in accordance with G.S. 
150B-12 that the Environmental Management 
Commission intends to adopt, amend, repeal reg- 
ulations cited as 15 SCAC 2H .0101, .0103. 
.0105, .0/07 - .0109; .0114, .0127, .0129 -.0131, 
.0/33, .0137, .0142, .0203, .0205, .0208, .0212 - 
.0213, .0219, .0222, .0603, .0605, .0609. 

1 he proposed effective dale of this action is Au- 
gust 1, 1988. 

1 he public hearing will be conducted at the fol- 
lowing locations, dales and lime: 

March 16, 1988 at 1:30 p.m. 

Environmental Protection A uditoriwn 

1200 Blythe Blvd. 

Charlotte, North Carolina 

March IS, 1988 at 1.30 p.m. 

Ground Floor Hearing Room 

Archdale Building 

512 North Salisbury Street 

Raleigh, Worth Carolina 



S~6 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



Co 



omment Procedures: All persons interested in 
these matters are i/nited to attend the public 
hearings. Persons desiring to comment on the 
proposals are requested to gtie written notice 
thereof on or before the hearing date. Any person 
desiring to present lengthy comments is requested 
to submit a written statement for inclusion in the 
record of proceedings at the public hearing. The 
record of proceedings will remain open for 30 days 
following the second hearing to receive additional 
written statements. To be included, the statement 
must be received by the Division within 30 days. 
The hearings will be divided into two parts be- 
cause there will be two hearing records, one for 
each part. The first part of the hearing will be on 
the air quality permit fees (15 NCAC 2H .0603, 
.0605, and .0609). The second part will be on the 
water quality fees and other water quality matters. 
(15 SCAC 2H .0100 and .0200). Persons wish- 
ing to comment on both the air quality proposals 
and the water quality proposals are requested to 
make two sets of comments, one on the air quality 
proposals and one one the water quality proposals. 
Additional information concerning the hearing or 
the air quality proposals may be obtained by con- 
tacting: 

Mr. Thomas C. Allen 

Division of Environmental Management 

Air Quality Section 

P.O. Box 27687 

Raleigh, North Carolina 27611-7687 

(919) 733-3340. 

Additional information concerning the water 

quality proposals may be obtained by contacting: 

Mr. Boyd DeVane 

Division of Environmental Management 

Water Quality Section 

P.O. Box 27687 

Raleigh, North Carolina 27611-7687 

(919) 733-5083. 

CHAPTER 2 - ENVIRONMENTAL 
MANAGEMENT 

SUBCHAPTER 2H - PROCEDURES FOR 
PERMITS: APPROVALS 

SECTION .0100 - WASTEWATER DISCHARGES 
TO HIE SURFACE WATERS 

0101 PURPOSE 

(a) These Rules implement G.S. 143-215.1 
vhich requires permits for control of sources of 
■vater pollution by providing the requirements 
ind procedures for application and issuance of 
tate NPDES permits for a discharge from an 
outlet, point source, or disposal system discharg- 



ing to the surface waters of the state, and for the 
construction, entering a contract for con- 
struction, and operation of treatment works with 
such a discharge (see Section .0200 of this Sub- 
chapter regarding permits for disposal systems 
not discharging to the surface waters of the state). 
These Rules also contain the requirements and 
procedures for issuance of state permits for pre- 
treatment facilities. (See Section .0900 of this 
Subchapter for rules for permits issued by local 
pretreatment programs). 

(b) Rules and Statutes referenced in this Sec- 
tion may be obtained by writing or visiting the 
Division of Environmental Management, Water 
Quality Section's offices at the following lo- 
cations: 

Pcrmittinja Permits and Engineering L T nit, 

Archdale Building 

P.O. Box 27687, 

512 N. Salisbury St., 

Raleigh, N.C. 27611 

Raleigh Regional Office 

3800 Barrett Dr., 

Raleigh, N.C. 27611 

Asheville Regional Office 

159 Woodfin St., 

Asheville, N.C. 28802 

Mooresville Regional Office 

919 N. Main St., 

Mooresville, N.C. 28115 

Eayetteville Regional Office 

Wachovia Bldg. Suite 714, 

Eayetteville, N.C. 28301 

Washington Regional Office 

1424 Carolina Avenue, 

Washington, N.C. 27889 

Wilmington Regional Office 

7225 Wright sville Ave., 

Wilmington, N.C. 28403 

Winston-Salem Regional Office 

8025 North Point Blvd., 

Winston-Salem, N.C. 27106 

Statutory Authority G.S. 143-215.3(a)( I ); 143- 
215.1. 

.0103 DEFINITION OF TERMS 

The terms used in this Section shall be as de- 
fined in G.S. 143-213 and as follows: 

( 1) "Certificate of Coverage" means the ap- 
proval given dischargers that meet the re- 
quirements of coverage under a general 
permit. 

f-H- Ql "Committee" means the NPDES com- 
mittee of the Environmental Management 
Commission. 

£3) (3) "Director" means the Director of the 
Division of Environmental Management, 



tXORTH CAROLINA REGISTER 



877 



PROPOSED RULES 



Department of Natural Resources and 
Community Development or his delegate. 

(4) (4) "EPA" means the United States Envi- 
ronmental Protection Agency. 

(4) [5j "NPDES" means the National Pollu- 
tant Discharge Elimination System. 

(4| [6_[ "New Source" means any industrial in- 
stallation, from which there may be a dis- 
charge, the construction or modification of 
which is commenced on or alter the date of 
publication of new source performance 
standards and or pretreatment standards for 
new sources by the Environmental Pro- 
tection Agency. 

(6* (21 "New Source Performance Standards" 
means those standards of performance ap- 
plied to industrial discharges defined as new 
sources. 

(?) [81 "POTW" means Publicly Owned 
Treatment Works. 

(£) [2l "Pretreatment standard" means any re- 
gulation containing pollutant discharge lim- 
its for indirect dischargers for ensuring 
compliance with Section 30F(b) and (c) of 
the Clean Water Act, 33 U.S.C. Section 
1251 et seq. This term includes prohibited 
discharge limits and local sewer use ordi- 
nance limits. 

(9) [10] "Primary industry" means an industry 
listed in 40 CFR 122, Appendix A as 
amended through July 1, 1986 or any later 
adopted amendments or editions of this do- 
cument as is allowed by G.S. 150B- 14(c). 
f4-G4 (11) "Professional Engineer" means a per- 
son who is presently registered and licensed 
as a professional engineer by the North Ca- 
rolina State Board of Registration For Pro- 
fessional Fnginecrs and Fand Surveyors. 
(444 [_1_2_1 "Staff" means the staff of the Division 
of Environmental Management, Depart- 
ment of Natural Resources and Community 
Development. 
f44) ( 13) "General permit" means an NPDES 
"permit" issued under 40 CFR 122 author- 
izing a category of discharges which all in- 
volve the same or substantially similar types 
of operations, discharge the same types of 
wastes, require the same effluent limitations 
or operating conditions, require the same or 
similar monitoring, and in the opinion of the 
director are more appropriately controlled 
under a general permit than under individual 
permits. 
(44f (14) "Mine dewatering" means discharges 
of uncontaminated infiltrate and stormwater 
from mine excavation and the water that is 
removed to lower the water table to allow 
minins in an area. 



f44) (15) "Notice of Intent" means formal writ- 
ten notification to the division that a pro- 
posed discharge is intended to be covered by 
a general permit and takes the place of "ap- 
plication" used with individual permits. 

f444 ( 16) "Oil terminal storage facilities" means 
petroleum bulk storage, product transfer, 
loading, unloading, and related areas but 
does not include marinas or facilities prima- 
rily engaged in the retail sale of petroleum 
products. Oil/water separators such as those 
at maintenance garages, gas stations, and 
National Guard and military reserve faculties 
are included in this definition. 

(4-6) (17) "Once-through non-contact cooling 
water" means water taken from wells, sur- 
face waters, or water supply systems and 
used in a non-contact cooling system with- 
out the addition of biocides or other chemi- 
cal additives. Boiler blowdown waters are 
included in this definition. Nuclear and 
fossil fuel electric generating plants are not 
included in this definition. 

(+3) ( 18) "Sand dredge" means a facility to re- 
move sand from river bottoms. No other 
mining activities are included in this defi- 
nition. 

f+&) (19) "Seafood packing facility" means a 
business which is primarily engaged in the 
sorting and packing of fresh seafood and 
which has a discharge consisting entirely of 
washdown and rinse water. Trout packing 
faculties are included in this definition. 
Wastewaters from seafood processing plants 
are not included in this definition. 

(44ty (20) "Swimming pool filter backwash" 
means normal filter backwash water from 
both public and private swimming pools as 
well as spas with backwash filter facilities. 



f24) (21) "Trout farm" means a facility for the 
commercial production of trout. 

(34) (22) "Water filtration facility" means back- 
wash filters and sludge disposal systems as- 
sociated with water treatment plants and 
backwash filters associated with wells. 

Statutory Authority G.S. 143-2 / 5.3 ( a) ( I ); 143- 
2/3. 

.0105 APPLICATION: PERMIT FEES: 

ASSESSMENT FOR NEW SOURCES 

(a) Except as provided in Subdivisions (e) (d_l 
and (4) [ej of this Rule, any person who dis- 
charges or who proposes to discharge pollutants 
to the surface waters of the state or to a POTW 
when pretreatment of the wastewater is required 
shall complete, sign, and submit, in triplicate, an 
application accompanied by the processing fee 



cS7S 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



described herein for each application in the form 
of a check or money order made payable to N.C. 
Department of Natural Resources and Commu- 
nity Development. 

The NPDliS application forms to be used for 
the various types of discharges arc as follows: 



Std. Form A: 

Short form A: 

Short Form B: 

Std. Form C 

or 

FPA Form 2-C 



Short Form C: 



Short Form D: 
Short Form E: 

Short Form F: 
Short Form G: 
Short Form 4ft 

Short Form IFF. 
Short Form J-I: 

Short Form ft-J: 

Short Form ftk 



all municipal systems greater 
than or equal to 1.0 MGI) as 
well as any municipal system 
receiving industrial waste from 
a primary industry. 

any municipal system not 
covered by Std. Form A. 

All agriculture related dis- 
charges. 

All primarv industries as 

listed in 40CFR 122.21, 

Appendix A and all other 
industrial process and com- 
mercial discharges greater tftaft 
Bf eewal to 50~,000 G2& ex- 
cept cooling waters, cooling 
tower blowdown, and boiler 
blowdown. 

Cooling waters, cooling 
tower blowdown, and boiler 
blowdown. m4 my industrial 
t+F comm e rcial efeehafges fw+ 
covered under Stor Form 4^ 
Short Form ftr w Short Form 

AU domestic waste dis- 
charges not covered by Std. 
Form A and Short Form A. 

Notice of Intent to be cov- 
ered by general permit for 
once - through non - contact 
cooling waters, statewide. 

Notice of Intent for mine 
dewatering facilities, statewide. 

Notice of Intent for water 
filtration facilities, statewide. 

Notic e *ft Intent fof swim 
ming pool filter backwash fa- 
cilities, statewide. 

Notice of Intent for seafood 
packing facilities, statewide. 

Notice of Intent for oil ter- 
minal storage facilities dis- 
charging to water supply 
(WS-III) waters. 

Notice of Intent for oil ter- 
minal storage facilities dis- 
charging to waters, other than 
water supply (WS-III) waters. 

Notice of Intent for sand 
dredges, statewide. 



Short Form ?4F: Notice of Intent for trout 

farms, statewide. 
Short Form tv\1: Notice of Intent for aquifer 

restoration. 
The pretreatment application forms to be used 
will be supplied by the division. 

A nonrefundable processing fee »f w» hundred 
dollars ($100.00) &ftaU be submitted wftft eaeft 
application e+ Notic e tft Intent, a«4 a public ho- 
tiee fee ef fifty dollars ($50.00) shall be submitted 
with e ach application, e xcept fe* general permits, 
processed by the division including r e quests fe>f 
name changes, a«4 modifications to the permit 
requested by the applicant, ft the permit does 
R*»t e*» to public notice, the public notice fee w4ft 
be refunded to the applicant. r>to processing fee 
wfti be charged fof modification ©f unexpired 
permits wh e n tfte modification! , we initiated by 
the director to correct processing errors, to 
change permit conditions, et otherwise to impl e 
ment new standards. 4fte processing fee shall 
»*t apply to any farmer who submits a» appli 
cation which pertains to his fanning operation. 
A» application is incomplete until required pro 
cessing fees, public notice fees a«4 adequate to- 
formution to evaluat e tfte proposed facility have 
been received. Incorrect ef incomplete applica 
tions may be returned to tfte applicant. 
(h) I'crmit Fees. 
( 1 ) Permit Application Processing Fees. For 
every application for new or renewed 
NPPFS permits or Notice of Intent to be 
covered bv a general permit, a nonre- 
fundable application processing fee in the 
amount stated in Subparagraph (5) of this 
Paragraph shall be submitted at the time 
of application. 
(A) This fee schedule does not apply to re- 
newal of general permits. 
(13) Each permit or renewal application is 
incomplete until the processing fee is re- 
ceived. 
((.") For a facility with multiple discharges 
under a single permit, the application 
processing fee shall be set bv the single 
discharge with the highest fee in the fee 
schedule. 



(D) No application processing fee will be 
charged for modification of unexpired 
permits when the modifications are initi- 
ated by the director. 

( F ) An application processing fee of twen- 
ty-live dollars ($25.00) will be charged for 
the minor modifications such as name 
changes listed in Rule .01 14(b). 

(F) A full processing fee will be charged for 
major modifications specifically including 
anv which increase the design How or 



NORTH CAROLINA REGISTER 



879 



PROPOSED RULES 



otherwise require new modeling; thus fee 
will be in the same amount as shown in 
Subparagraph (5) of this Paragraph lor 
standard applications. 
(2) Annual Administering and Compliance 
Monitonng lees. An annual fee for ad- 
ministering and compliance monitoring 
^hall he i lurked in each war ot the term 
of even NPDES permit, including general 
permits, according to the schedule in 
Subparagraph (5) <M this Paragraph. 
( A I Collection of annual fees shall begin 
upon approval of this Rule tor new, reis- 
sued, or modified permits. 

( B) Annual fees must be paid for any facil- 
ity operating on an expired permit after 
the effective date of this Rule. The Di- 
rector shall establish an anniversan date 
for such a facility and notify the responsi- 
ble partv of the requirement to pay annual 
administering and compliance monitoring 
fees. 

(C) For anv permit which undergoes a 
modification which requires a public no- 
tice in accordance with Rule .01 14(b) of 
this Section, the annual fee shown in 
Subparagraph j 3) of this Paragraph must 
be paid for each whole permit -years left in 
the duration of its permit. 

( D) lor a facility with multiple discharges 
under a single permit, the annual admin- 
istering and compliance monitoring fee 
shall be set by the single discharge with 



the highest fee in the 



:hedul 



(1:) A person with only one permit will be 
billed annually on an anniversan date to 
be determined by the division. This will 
normally be the first day of the month of 
permit issuance. 

(F) A person with multiple permits may 
have annual fees consolidated into one 
annual bill. 

(G) Anv permittee which has maintained 
full compliance with all permit conditions 
during the previous calendar year will 
have its administering and monitoring an- 
nual fee reduced bv 25 percent. Permit- 
tees operating under interim limits, 
ludieial orders, or special orders bv con- 
sent will not be eligible for any discount. 
Full compliance will be established if it 
can be certified by the director tha t no 
Notice of Noncompliance or a Notice of 
Violation was sent to the permittee during 
the compliance period being considered. 
If a Notice of Noncompliance or a Notice 
of Violation was based on erroneous in- 
formation. the director can send a letter 



of correction to the permittee clearing the 
record for compliance purposes. 

(H) Cooling water and totally domestic 
waste discharges shall be provided a lower 
annual administering and compliance 
monitoring fee as provided in Subpara- 
graph (5) of this Paragraph. 

(I) In addition to those wastes specified in 
(H) of this Rule, a discharge which has 
recognized low potential for environ- 
mental impact may be charged the same 
fee schedule as cooling water and domes- 
tic waste. A low potential for environ- 
mental i mpact exists if it can be shown 
that the effluent flow originates as storm- 
water runoff or .groundwater seepage and 
can be expected to meet all water quality 
standards including a BOD<j concen- 
tration of less than 2 mg 1 at the outlet 
of the treatment works. Also, intermittent 
discharges meeting these quality criteria 
with average flows less than 100,000 GPP 
but which are permitted at a higher flow 
may upon request be allowed to meet the 
fee schedule of the cooling water rate of 
the less than 100,000 GPD categon- . 



(J) A facility not vet in operation or which 
has ceased all operations at a site will not 
be required to pay the next annual ad- 
ministering and compliance monitoring 
fee provided operations are not started or 
resumed during that permit year. Any 
operations will necessitate the payment of 
the entire annual fee for that year. 
(K) Permit Application Processing Fees 
and Annual Administering and Compli- 
ance Monitoring Fees for pretreatment 
facilities permitted bv the division shall be 
at the same rate as provided in Subpara- 
graph (5) of this Paragraph. 

(3) No fees are required to be paid under this 
Regulation by a farmer who submits an 
application or receives a permit that per- 
tains to his farming operations. 

[4i Failure to pay an annual fee within 30 
davs after being billed may cause the divi- 
sion to initiate action to revoke the per- 
mit. 

(5) Schedule of Maximum Fees: 



Categon" 



Permit Application 
Processing Fee 

Standard 



Simple 
Renewal 



> 10.000,000 GPD 


$ 400 


S 200 


Domestic or 






Cooling water 


400 


200 



880 



SORTH CAROLINA REGISTER 



PROPOSED RULES 



,000.001 



300 



50 



10.000,000 GPD 
Domestic or 
Cooling Water 


300 


150 


100,001 - 
1,000.000 GPD 
Domestic or 
Cooling Water 


250 
250 


125 

125 


> = 100.000 GPD 
Domestic or 
Cooling Water 


200 
200 


100 
100 


Single family 
dwelling 


120 


60 


General permit 
for cooling 

water, water 
filtration, 
and aquifer 
restoration 


200 





General permit 
for Mine 
dewatering, 


200 





sand dredges 






General permit 








for swimming 

pools 






Other general 
permits 


100 





Annual Administering and 
Compliance Monitoring lee 


Category 


Standard 
$1200 

900 


Compliance 

Reduction 


> 10,000.000 GPD 


$ 900 


Domestic or 
Cooling water 


675 


1,000,001 - 


800 
600 


600 


10.000.000 GPD 
Domestic or 
Cooling Water 


450 


100,001 - 


400 

300 
300 
225 


300 


1.000.000 GPD 




Domestic or 




Cooling Water 


225 


> = 100.000 GPD 


225 


Domestic or 




Cooling Water 


150 



Single family 
dwelling 

General permit 
for cooling 
water, water 
filtration, 



200 



and aquifer 
restoration 

Genera] permit 
for Mine 
dewatering, 
sand dredges 

General permit 
for swimming 
pools 



200 



Other general 
permits 



100 



(6) A portion of the permit application proc- 
essing fees shown in the tee schedule in 
Subparagraph (5) of this Paragraph will 
he transferred into the Wastewater Treat- 
ment Works I'mergency Maintenance, 
Operation and Repair fund according to 
the following schedule: 

( A ) All facilities treating domestic waste- 
water with design flows of 100,000 gallons 
per day or less, except single family 
dwellings and general permits, seventy-five 
dollars (5.75.00); 

(B) Single family dwellings, forty dollars 
($40.00); 

(C) All general permits except swimming 
pools, ten dollars ($10.00); and 

(D) All facilities with design flows greater 
than 100.000 gallons per day, zero. 

(7) When the total value of the Wastewater 
Treatment Works Emergency Mainte- 
nance. Operation and Repair fund, as 
certified by the State Treasurer, is at_ least 
seven hundred fifty thousand dollars 



($750,000.00) at the end of a quarter, the 
permit application processing fees for fa- 
cilities with discharges of one hundred 
thousand gallons per day (100.000 GPD) 
or less shall be reduced by the amounts 
being transferred under Rule .0142. This 



reduction shall continue until, a[ tjie end 
of some subsequent quarter, the State 
Treasurer certifies that the funds balance 
is less than seven hundred fifty thousand 
dollars ($750.000.00). in which case the 
full amount o[ ll]£ permit application 



NORTH CAROLINA REGISTER 



SSI 



PROPOSED RULES 



processing tecs as listed m Subparagraph 
(5) of the Paragraph shall he charged, 
<4*f [c] .Applicants tor projects requiring con- 
struction of control facilities shall in addition to 
applications required in Subsection (a) of this 
Rule, file, in triplicate, an engineering proposal 
setting forth the following information: 

( 1 ) a description of the origin, type, and flow 
of waste which is proposed to be dis- 
charged, blow shall be determined in ac- 
cordance with Rule 211 .0219(1) of this 
Chapter; 

(2) a summary of waste treatment and dis- 
posal options that were considered and 
why the proposed system and point of 
discharge were selected; the summary 
should have sufficient detail to assure that 
the most environmentally sound alterna- 
tive was selected from the reasonably cost 
effective options; 

(3) a narrative description of the proposed 
treatment works including type and ar- 
rangement of major components, in suffi- 
cient detail to assure that the proposed 
facility has the capability to comply with 
the permit limits: for commonly used 
treatment system or components with 
well established treatment capabilities, de- 
tailed plans and specifications need not be 
submitted until the application for the 
authorization to construct: however, de- 
tailed plans and specifications shall be re- 
quired with the permit application for any 
system or component without well estab- 
lished treatment capabilities for the nature 
of waste or degree of treatment needed to 
meet the permit limits; 

(4) a general location map. showing orien- 
tation of the facility with reference to at 
least two geographic references (numbered 
roads, named streams rivers, etc.); 

(5) a scale location plan of the site showing 
location of the proposed treatment works 
and the proposed point of discharge: 

(6) special studies or modelling may be re- 
quired in cases where the impacts of the 
discharge cannot be readily determined by 
the division: 

(7) a statement to demonstrate applicant, or 
anv parent or subsidiary corporation ]t_ the 
applicant is a corporation: 

(A) Is financially qualified to cam out the 
activity tor which the permit is required 
under Subsection (a) and 

( B) Has substantial complied with the ef- 
fluent standards and limitations and waste 
management treatment practices applica- 
ble to anv activity in which the applicant 



has previously engaged, and has been m 
substantial compliance with other federal 
and state laws, regulations, and rules tor 
the protection ol^ the environment. 
(e) [dj Applications for permit renewals shall 
be accomplished by filmg the appropriate appli- 
cation form as listed in (a) above, with the proc- 
essing fee described herein in the form of a check 
or money order made payable to N.C. Depart- 
ment of Natural Resources and Community De- 
velopment, at least 180 days prior to expiration 
of a permit. The notice and public participation 
procedures set in Rules .0109 and .0111 of this 
Section shall be followed for each request for re- 
issuance of the permit. All applications are in- 
complete until required processing fees are 
received, and may be returned to the applicant. 
The processing fee shall not apply to any farmer 
who submits an application which pertains to his 
farming operation. The processing fee for Permit 
Renewal issued by the division is the same as 
listed in (a) above. 

(4+ [e| .Applications for permits for pretreatment 
facilities shall be made in triplicate upon forms 
approved by the director and submitted along 
with applicable supporting information to the 
division at the addresses given in subdivision (a) 
of this Rule. 

v 8 ) ill Applicants for permits for new discharges 
which propose to discharge industrial process 
wastewater in excess of 100.000 gallons per day 
or 10 MGD of cooling water or any other pro- 
posed discharge of 1 MGD or greater to the sur- 
face waters shall file, in addition to the 
applications and supporting documents required 
in Subsections (a) and (b), an assessment suffi- 
cient to describe the impact of the proposed ac- 
tion upon the waters of the area. As a minimum, 
the assessment shall contain the following: 

(1) Cover Sheet. The cover sheet shall indi- 
cate the nature of the proposed action, the 
name of the permit applicant, the date of 
the assessment, and the signature of the 
responsible company official. 

(2) The assessment shall identify, develop, and 
analyze the pertinent issues concerning the 
impact on the aquatic environment as 
follows: 

(A) Background and description of the 
proposed discharge: The assessment shall 
describe the proposed discharge , its pro- 
duct or purpose, its location, and its con- 
struction and operation time schedule in 
as broad a context as is reasonable. The 
relationship of the project to other pro- 
jects and proposals directly affected by or 
stemming from the construction and op- 
eration of the discharge should be dis- 



882 



XORTH CAROLISA REGISTER 



PROPOSED RULES 



cussed. Maps, photos, or artist sketches 
should be incorporated if available to help 
depict the environmental setting and, if 
not available, supporting documents 
should be referenced. 

(B) Alternatives available for treatment or 
other control methods should be de- 
scribed, developed and objectively 
weighed against the proposed discharge. 
The analysis should be sufficiently de- 
tailed to allow for comparative evaluation 
of impacts on the aquatic environment. 
The analysis of alternatives shall be com- 
pared to the existing aquatic environment. 

(C) The assessment should discuss the pri- 
mary and secondary environmental im- 
pacts both beneficial and adverse. The 
scope of the description should include 
both short term and long term impacts. 

(D) Adverse impacts which cannot be 
avoided should the permit be issued 
should be described in detail and proposed 
remedial or protective measures which 
will be taken to minimize such impacts 
should be described. This shall be a de- 
scription of ihe extent to which the pro- 
posed activity involves trade-offs between 
short term environmental gains at the ex- 
pense of long term losses or vice-versa and 
the extent to which proposed actions may 
foreclose future options. The assessment 
must adequately address irreversible and 
irretrievable commitments of aquatic re- 
sources which will result if the permit is 
issued. 

(3) Any assessment which is required by any 
other state agency or any federal agency 
shall be deemed to comply with require- 
ments of this subsection provided aquatic 
impacts are adequately addressed. 

(4) X» permit shall be oubject V» cha l lenge 
by a third party h» A# grounds that' i«- 
formution requir e d under thi* subsection 
is incomplete ef insufficient. 

($ (S) Permits which result in construction of 
facilities which will be funded by public monies 
may require environmental documentation pur- 
suant to the North Carolina linvironmental Pol- 
icy Act, NCGS 113A. NPDES permit 
applications for which such documentation is re- 
quired will be considered incomplete until sup- 
ported by the required documentation. 

(f} [hj For NPDES permits, a full disclosure of 
ill known toxic components that can be reason- 

bly expected to be in the discharge, including 
Jut not limited to those contained in a priority 
pollutant analysis, must be submitted for all pri- 
nary industrial direct discharges in accordance 



with 40 CFR 122.21 Appendix D which are 
adopted by reference as amended through Janu- 
ary 1, 1986 and for other direct discharges as re- 
quired by the director. 

Statutory Authority G.S. 143-215.1 (c); 
143-2l5.3(a); N3-215.3(b). 

.0107 STAFF REVIEW AND EVALUATION 

(a) The director is authorized to accept appli- 
cations for the commission and shall refer all ap- 
plications to the staff for review and evaluation. 
Additionally, the director shall refer applications 
for the disposal of waste into waters classified as 
sources of public water supply (classification WS 
II and III) and shellfish waters classified SA to 
the Division of Health Services, Department of 
Human Resources, for review and written ap- 
proval. 

(b) The director shall acknowledge receipt of a 
complete application or, if not complete, shall 
return the application to the applicant with a 
statement of what additional information is re- 
quired. 

(c) Tentative Determination and Draft Permit 

(1) The staff shall conduct a site investigation 
including an on-site inspection and shall 
prepare its written evaluation and tenta- 
tive determination to issue or deny the 
permit. 

(2) If the staff's tentative determination in 
Paragraph (1) of this Subdivision is to is- 
sue the permit, it shall if necessary make 
the following additional determinations in 
writing: 

(A) proposed effluent limitations for those 
pollutants proposed to be limited; 

(B) a proposed schedule of compliance, in- 
cluding interim dates and requirements, 
for meeting the proposed effluent limita- 
tions; and 

(C) a brief description of any other pro- 
posed special conditions which will have 
significant impact upon the discharge de- 
scribed in the application. 

(3) The staff shall organize the determinations 
made pursuant to Paragraphs (1) and (2) 
of this Subdivision into a draft permit. 

(d) In the case of permits for which notice of 
intent is given on short forms E through N M 
as described in Rule 0105(a) of this Article, a 
Certificate of ('overage under a general permit 
shall be prepared and issued directly to the ap- 
plicant in lieu of any other acknowledgement. 
If the Notice of Intent is unacceptable, it will be 
returned to the applicant with a brief explana- 
tion. 



\ 



NORTH CAROLINA REGISTER 



SS3 



PROPOSED RULES 



Statutory Authority G.S. 130-161; 143-215.3 (a) 
(I); 143-215.3 (a) (4); 143-215. 1 (a); 143-215.1 
(c). 

.0108 FACT SHEETS 

(a) lor all discharges which do not quality for 
a general permit and wliich have a total volume 
of 500,000 or more gallons on any day, or as may 
be determined by the director, a fact sheet pro- 
viding a brief synopsis of the application shall be 
prepared by the staff and made available upon 
request following issuance of the public notice. 
The contents of such fact sheets shall uiclude at 
least the following information: 

( 1 ) sketch or detailed description of the lo- 
cation of the discharge described in the 
application; 

(2) a quantitative description of the discharge 
described in the application which in- 
cludes at least the following: 

(A) the rate or frequency of the proposed 
discharge; if the discharge is continuous, 
the average daily flow in gallons per day 
or million gallons per day; 

(B) for thermal discharges subject to limi- 
tation under the act, the average summer 
and winter temperatures in degrees Fah- 
renheit; and 

(C) the average daily discharge in pounds 
per day of any pollutants which are pres- 
ent in significant quantities or which are 
subject to limitations or prohibition; 

(3) the tentative determinations required un- 
der Rule .0107 of this Section; 

(4) a brief citation of the water quality stand- 
ards and effluent standards and limitations 
applied to the proposed discharge, includ- 
ing a brief identification of the uses for 
which the receiving waters have been 
classified; and 

(5) a fuller description of the procedures for 
the formulation of final determinations 
than that given in the public notice in- 
cluding: 

(A) the 30-day comment period required 
by Rule .0110 of this Section, 

(B) procedures for requesting a public 
meeting and the nature thereof, and 

(C) any other procedures by which the 
public may participate in the formulation 
of the final determinations. 

(b) Any person, upon request, will be fur- 
nished, without charge, one copy of any tact 
sheet. Any person mrty t4** roquet a«4 receive 
»U f*t+ sheoU . a* (4*ev aw published by t4*e 4e- 
purtmont. Persons requesting aU fa*4 shoots shall 
be included m » sp e cial f*t4 sheet mailing b*4r 
R e qu e sts k+f att ktet- sheets shall be renewed by 



hAy 4- el each yeaf ef to# name ef ike person 
maldng the request ohall be dropped from th* 
feet shoot mailing fesfe Appropriate notico shall 
be given by tbe director prior to dropping pet- 

Statutory Authority G.S. 143-21 5.3(a) ( I ); 143- 
21 5.1(e) (2) (i). 

.0109 PUBLIC NOTICE 

(a) Notice of Application 

(1) Public notice of each complete NPDES 
permit application shall be circulated in 
the geographical areas of the proposed 
discharge by the director at least 45 days 
prior to any proposed final action: 

(A) by publishing the notice one time in a 
newspaper having general circulation in 
said county; and 

(B) by mailing the notice to all persons or 
agencies listed in Subsection (c) of this 
Rule. 

(2) The notice shall set forth at least the fol- 
lowing: 

(A) name, address, and phone number of 
agency issuing the public notice; 

(B) name and address of each applicant; 

(C) brief description of each applicant's ac- 
tivities or operations which result in the 
discharge described in the NPDES appli- 
cation; 

(D) name of waterway to which each dis- 
charge is made and a short description of 
the location of each discharge on the wa- 
terway indicating whether such discharge 
is a new or an existing discharge; 

(E) a statement of the tentative determi- 
nation to issue or deny an NPDES permit 
for the discharge described in the NPDES 
application; 

(F) a brief description of the procedures for 
the formulation of final determinations, 
including a 30-day comment period and 
any other means by which interested per- 
sons may influence or comment upon the 
determinations; and 

(G) address and phone number of state 
agency premises at which interested per- 
sons may obtain further information, re- 
quest a copy of the draft permit, request 
a copy of the fact sheet, and inspect and 
ropy NPDES application forms and re- 
lated documents. Copies of the fact sheet 
shall be made available free upon request. 
Copies of the information on file, other 
than fact sheets, will be made available 
upon request and payment of the cost of 
reproduction. 



884 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



(4) Public notice &£ NPDES applications fof 
discharges from single family dwellings ef- 
1,000 gallono pef 4»y w less shall net be 
r e quir e d. 

(4) Qi Public notice for those activities covered 
by general permits shall not be required, 
(b) Notice of Public Meeting 

(1) Notice of public meeting on any NPDES 
permit application shall be circulated in 
the geographical areas of the proposed 
discharge by the director at least 30 days 
prior to the date of the meeting: 

(A) by publishing the notice one time in a 
newspaper having general circulation in 
said county; 

(B) by mailing the notice to all persons and 
government agencies which received a 
copy of the notice or the fact sheet for the 
NPDES application; and 

(C) by mailing the notice to any person or 
group upon request. 

(2) The contents of public notice of any 
meeting shall include at least the follow- 
ing: 

(A) name, address, and phone number of 
agency holding the public meeting; 

(B) name and address of each applicant 
whose application will be considered at 
the meeting ; 

(C) name of waterway to which each dis- 
charge is made and a short description of 
the location of each discharge on the wa- 
terway; 

(D) a brief reference to the public notice 
issued for each NPDES application in- 
cluding identification number and date of 
issuance; 

(E) information regarding the time and lo- 
cation for the meeting; 

(F) the purpose of the meeting; 

(G} a concioo statement »f the issues raised 
by the persons r e questing the meeting; 

(44) (G) address and phone number of 
premises at which interested persons may 
obtain further information, request a copy 
of each draft NPDES permit, request a 
copy of each fact sheet, and inspect and 
copy NPDES forms and related docu- 
ments; and 

(4) (H) a brief description of the nature of 
the meeting including the rules and pro- 
cedures to be followed; The notice shall 
also state that additional information is 
on file with the Division of Environ- 
mental Management, Department of Na- 
tural Resources and Community 
Development at the Archdalc Building at 



512 North Salisbury Street, Raleigh, 

North Carolina, and may be inspected at 

any time during normal working hours. 

Copies of the information on hie will be 

made available upon request and payment 

of cost of reproduction. 

(c) Mailing Lists. Any person may request to 

receive copies of all notices required under this 

Rule and the director shall mall such notice to 

any such person. The director shall also give 

notice to the following for NPDES permits: 

(1) State water pollution control agency for 
the States of Virginia, South Carolina, 
Tennessee, and Georgia; 

(2) Appropriate district engineer, U.S. Army 
Corps of Engineers; 

(3) L^ad agency responsible for preparation 
of plan pursuant to Section 208(b) of the 
Clean Water Act, 33 U.S.C. Section 1251 
et seq, in approved 208 areas; 

(4) State agency responsible for the prepara- 
tion of plans pursuant to Section 303(e) 
of the Clean Water Act, 33 U.S.C. Section 
1251 et seq; 

(5) North Carolina Department of Human 
Resources, Division of Health Services, 
and appropriate local health agency; 

(6) Any other federal, state, or local agency 
upon request; and 

(7) The local governmental unit or units hav- 
ing jurisdiction over specific residential 
projects as specified in N.C.G.S. 
143-215.1(dl). 

Statutory Authority G.S. 143-215. 1(a)(1); 143- 
215.1(c); 143-21 5.4(a); 143-2 15.4(c). 

.0114 MODIFICATION AND REVOCATION 
OF PERMITS 

(a) Any permit issued pursuant to this Regu- 
lation is subject to revocation or modification in 
whole or part pursuant to 40 CER 122.62 or for 
good cause including but not limited to: 

( 1 ) violation of any terms or conditions of the 
permit; 

(2) obtaining a permit by misrepresentation 
or failure to disclose fully all relevant facts; 

(3) a change in any condition that requires 
either a temporary or permanent re- 
duction or limitation of the permitted 
discharge; and 

(4) refusal of the permittee to permit the di- 
rector or his authorized representative 
upon presentation of credentials: 

(A) to enter upon permittee's premises in 
which an effluent source is located or in 
which any records are required to be kept 
under terms and conditions of the permit, 



\ 



NORTH CAROLINA REGISTER 



885 



PROPOSED RULES 



(1) 
(2) 

(3) 
(4) 

(5) 



(B) to have access to any copy and records 
required to be kept under terms and con- 
ditions of the permit, 

(C) to inspect any monitoring equipment 
or method required in the permit, or 

(D) to sample any discharge of pollutants. 
(5) failure to pay the annual fee for adminis- 
tering and compliance monitoring. 

(b) Modifications of permits shall be subject to 
the same procedural requirements as the issuance 
of permits except as follows: 

modifications of the monitoring program 
contained in the permit, 
name changes or changes in the ownership 
of the discharge when no other change in 
the permit is indicated, 

a single modification of any compliance 
schedule not in excess of four months, 

modification of compliance schedules 
(construction schedules) in permits for 
new sources where the new source will 
not begin to discharge until control facili- 
ties are operational, 

modifications to include or amend pre- 
treatment program requirements. 
The director may disallow these exemptions on 
a case by case basis. 

(c) A request for a modification or revocation 
by the permittee shall constitute a waiver of the 
60 day notice required by Ci.S. 143-215. 1(b) for 
modifications or revocations. 

Statutory Authority G.S. 143-2I5.3(a)( 1 ); 143- 

215.1(b)(3). 

.0127 GENERAL PERMITS 

(*»4 4-e- the extent adopted by the commission 
i*ft4 approved by FPA, the director » authorised 
te- issue g e n e ral permits fof certain specifically 
defined classes e4 dischargers: General permits, 
which are developed for categories of activities 
shown in this Rule, will cover all those dischar- 
gers in the State that received a "Certificate of 
(.'overage" for that category from the division. 
1 ■ ach of the general permits will be issued as an 
individual permit under Ci.S. 143-215. 1. using all 
procedural requirements specified for individual 
NPDHS or state permits including application 
and public notice. bach general permit must be 
approved by the l.S. FPA, before h becomes 
effective. Dischargers covered under general 
permits, developed in accordance with this Rule, 
will be subject to the same effluent standards and 
limits, enforcement authorities, and rights and 
priv iKlvn a_ ^pci ili. \\ in i_lu_ genera] permit 
Procedural requirements for application and per- 
mit approval, unless specifically designated as 
applicable to individuals proposed to be covered 



under the general permits, apply only to the is- 
suance of the general permits. After issuance of 
the general permit by the commission and ap- 
proval by FPA, dischargers in the applicable ca- 
tegories may request coverage under the general 
permit, and the director or his designee shall 
grant appropriate certification. 

(1) once-through non-contact cooling waters 
with no biocidal additives; 

(2) mine dewatering facilities; 

(3) water filtration facilities; 

(4) swimming pool filter backwash facilities; 

(5) seafood packing facilities; 

(6) oil terminal storage facilities discharging 
to water supply (WS-III) waters; 

(7) oil terminal storage facilities discharging 
to waters other than those classified as 
water supply waters; 

(8) sand dredges; 

(9) trout farms; 

(10) aquifer restoration. 

(b) Coverage under general permits will only be 
issu e d granted for discharge into waters classified 
either WS or SA following review and written 
approval by the Division of Health Services, De- 
partment of Human Resources. 

(c) Coverage under general permits will only be 
issued granted where the applicant certifies indi- 
vidual requesting coverage verifies that best 
management practices have been installed. 
These general permits apply statewide except 
where restrictions based on the classification of 
receiving waters are stated. 

(d) These general permits apply only to cooling 
water, and mine dewatering discharges with vol- 
umes of less than 10 MGD and to other dis- 
charges listed in this Rule with volumes of less 
than 1 MGD. 

(e) No provision in any general permit issues 
under this Rule shall be interpreted as allowing 
the permittee to violate state water quality stan- 
dards or other applicable environmental stand- 
ards. 

(f) For one of these general permits to apply 
to a facility, a Notice of Intent to be covered by 
the general permit must be given using short 
forms E through M described in Rule 0105(a) 
of this Section and, as appropriate, following the 
application procedures specified in Rules .0105 
and .0106 of this Article. If all requirements are 
met, a coverage under the general permit may be 
issued, granted. If all requirements are not met, 
a long form application and full application re- 
view procedure will be required. 

(g) General permits will be effective for a term 
of five years at the end of which the division may 
renew them. All public notice requirements shall 
be satisfied prior to renewal of general permits. 



886 



\OR TH CA ROLINA R EG IS TER 



PROPOSED RULES 



Facilities Dischargers covered by general permits 
need not submit new Notices of Intent or re- 
newal requests unless so directed by the division. 
If the division chooses not to renew a general 
permit, all facilities covered under that general 
permit shall be notified to submit applications for 
individual permits. 

(h) All previous state water quality permits is- 
sued to a facility which can be covered by a gen- 
eral permit, whether for construction or 
operation, are revoked by approval of the Notice 
of Intent to be covered by a general permit. 

(i) Anyone engaged in activities covered by the 
general permit regulations but not permitted in 
accordance with this Section will be considered 
in violation in G.S. 143-215.1. 

{ji U a facility has multiplo discharges, set- aH- 
ef which ea» be covered by ene »f mor e general 
permits, it- is set- eligibl e fof eu¥f general permit, 
a«4 aH discharges must be approved under a sin- 
gle individual permit. 

(k) (j| Any applicant individual covered or 
considering coverage under a general permit may 
choose to pursue an individual permit for any 
facility covered by this Rule. 



Statutory Authority 

l43-215.3(a)(l). 



G.S. 



143-215.1; 



.0129 GENERAL PERMIT FOR MINE 
DEWATERING FACILITIES 

(a) Operators of mine dewatering facilities are 
authorized to discharge to all receiving waters 
except classified trout (Tr) and water supply I 
(WS-I) waters in accordance with discharge limi- 
tations, monitoring requirements, and other 

onditions set forth in this Rule. 

(b) Monitoring and reporting of flow, settleable 
matter, turbidity, and pi I is required monthly. 

(c) The following discharge limitations apply 
to discharges under this general permit: 

(1) Settleable matter: monthly average not to 
exceed 0.1 ml/1, daily maximum not to 
exceed 0.2 ml/1; 

(2) Turbidity in the effluent shall not exceed 
50 NTU. 

(3) TSS: monthly average not to exceed 30 
mg/1, daily maximum not to exceed 45 
mg/1; 

(4) pi I: between 6.0 and 9.0 standard units 
for freshwater or between 6.8 and 8.5 for 
salt waters. 

(d) The permittee shall utilize sound manage- 
ncnt practices to ensure that contaminants do 
lot enter the surface waters as a result of blasting 
it this site. 



(e) Use of any additive chemical will require the 
discharger to obtain an individual NPDES per- 
mit. 



Statutory 
143-215(3). 



Authority G.S. 143-215(1); 



.0130 GENERAL PERMIT FOR WATER 
FILTRATION FACILITIES 

(a) Operators of water filtration facilities are 
authorized to discharge to all receiving waters in 
accordance with discharge limitations, monitor- 
ing requirements, and other conditions set forth 
in this Rule. 

(b) Monitoring and reporting of settleable 
matter, turbidity, total suspended solids, and pH 
is required monthly. 

(c) The following discharge limitations apply 
to discharges under this general permit: 

(1) Settleable matter: monthly average not to 
exceed 0.1 ml/1, daily maximum not to 
exceed 0.2 ml/1. 

(2) Turbidity in receiving water due to a dis- 
charge shall not exceed 50 NTU in 
streams or 25 NTU in lakes or reservoirs; 
if turbidity exceeds these levels due to na- 
tural background conditions, the discharge 
level cannot cause any increase in turbid- 
ity in the receiving water. 

(3) TSS: monthly average not to exceed 30 
mg/1, daily maximum not to exceed 45 
mg/1. 

(4) pH: between 6.0 and 9.0 standard units 
in freshwater or between 6.8 and 8.5 for 
salt waters. 

(d) The permittee shall operate the facility in a 
manner which will minimize the impact on re- 
ceiving waters. 



Statutory Authority 
143-215(3). 



.0131 



G.S. 143-215(1); 



GENERAL PERMIT/SWIMMING POOL 
FILTER BACKWASH FACILITIES 

(a) Operators of swimming pool filter back- 
wash facilities are authorized to discharge to all 
receiving waters except for classified Trout (Tr) 
waters in accordance with discharge limitations, 
monitoring requirements, and other conditions 
set forth in this Rule. All swimming pools which 
arc operated in accordance with Paragraphs (c) 
through (f) of this Rule shall be deemed to he 
covered by this general permit. Paragraph (f) of 
Rule .0127 of this Section does not apply t£ 
swimming pools and no Notice of Intent need 
be submitted. 

(b) No monitoring is required. 



NORTH CAROLINA REGISTER 



8H7 



PROPOSED RULES 



(c| The following discharge limitation applies 
to discharges under this general permit: pi I be- 
tween 6.0 and 9.0 standard units in freshwater 
and 6.S and 8.5 standard units in salt waters. 

(d) The permittee shall take steps to limit the 
discharge of chlorine by following manufacturers' 
recommendations on the use of products con- 
taining chlorine and by controlling the discharge. 

(e) Solids shall be disposed of in an approved 
manner. 

(f) The permittee shall take adequate precau- 
tion to ensure that nuisance conditions do not 
occur as a result of this discharge. 



Statutory 
143-215(3). 



Authority G.S. 143-215(1); 



.0133 GENER \l PERMIT/OIL STORAGE 
FACILITIES DISC/WS-III WATERS 

(a i Operators of oil storage facilities are au- 
thorized to discharge to water supply waters 
classified YVS-III in accordance with discharge li- 
mitations, monitoring requirements, and other 
conditions set forth in this Rule. 

(b) Monitoring and reporting of oil and grease 
in effluent is required twice monthly. Monitor- 
ing and reporting of phenols in effluent and in 
receiving water is required twice monthly. 

(ci The following discharge limitations apply 
to discharges under this general permit: 

( 1 ) Oil and grease: monthly average not to 
exceed 30 me 1, maximum not to exceed 
60 mg 1. 
(2) Phenols: average in discharge shall not 
cause instream concentration of phenols 
to be greater than 1.0 ug 1. 
(d) The permittee shall maintain a list of all oils 
and toxic and hazardous substances used or 
stored at the facility, all potential sources of spill 
and leaks of these materials, a method for con- 
tainment, a description of training, inspection 
and security procedures, and emergency response 
measures to be taken in the event of a discharge 
to surface waters. The list shall be maintained 
at the plant site and shall be available for in- 
spection by F.PA or division personnel. 



Statutory 
143-215(3). 



Authority 



G.S. 



143-215(1); 



.0137 GENERAL PERMIT FOR AQUIFER 
RESTORATIONS 

(a) Operators of facilities for the recover,' and 
treatment of contaminated groundwater are au- 
thorized to discharge, for a period not to exceed 
ISO days following issuance of the Certificate of 
Coverage under the General Permit, to all re- 
ceiving waters except WS-I, WS-II, WS-III and 



SA in accordance with the discharge limitations, 
monitoring requirements and other conditions set 
forth in this Rule. 

(b) The applicant individual requesting cover- 
age must demonstrate by predictive calculations, 
accepted modeling procedures, or other methods 
approved by the director that contravention of 
the applicable water quality standards will not 
occur as a result of this discharge. Furthermore, 
tfie applicant that individual shall demonstrate 
by testing that there will be no acute toxicity in 
the wastestream and no aquatic chronic toxicity 
in the receiving stream. 

(cj Monitoring and reporting of effluent for the 
toxic, hazardous or deleterious substances, which 
are the subject of the site-specified aquifer resto- 
ration, is required on a monthly frequency unless 
otherwise specified in the General Permit. 

(d) Certificates of Coverage under the general 
permit ' j permit for aquifer restoration will only 
be issued in cases where it has been demonstrated 
to the satisfaction of the director that the threat 
to human health and safety or to the aquatic en- 
vironment are too great to allow for the normal 
processing time of an NPDES Permit. If the 
applicant individual seeking coverage or the divi- 
sion determines that the restoration cannot be 
completed within 180 days, fi**> applicant an ap- 
plication must be filed file for a standard NPDES 
Permit at the same time that the request for 
coverage under the general permit application is 
filed, fof tfie general permit. 

(e) Contaminated soils shall be disposed of at 
an approved solid or hazardous waste disposal 
facility. 



Statutory Authority 
143-215(3). 



G.S. 143-215(1); 



.0142 USE OF WASTEWATER TREATMENT 
WORKS EMERGENCY MAINTENANCE: 
OPERATION AND REPAIR FUND 

(a) In cases in which water quality standards 
are violated or an environmental health threat 
exists, monies from the Wastewater Treatment 
Works Emergency Maintenance, Operation and 
Repair Fund may be used at the discretion of the 
director to correct the cause of such conditions. 

(b) In this, the director shall: 

(1) Ensure the fiscal integrity of the fund; 

(2) Use the fund only as a measure of last re- 
sort to protect water quality or public 
health when all other compliance and en- 
forcement procedures have failed: 

(3) Limit the use of the fund to wastewater 
treatment works with design flow capaci- 
ties of less than or equal to one hundred 
thousand gallons per day (100.000 GPD): 



SS8 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



(4) Notify the permittee by certified mail of 
the intention to take emergency corrective 
action and to recoup monies spend; 

(5) Make every effort to recoup fund expend- 
itures, including collection costs, from the 
parties responsible; 

(6) Coordinate use of the fund with the pro- 
gram of the Public Utilities Commission 
when a permittee is also a regulated util- 
ity; and 

(7) Provide a quarterly accounting of the fund 
to the commission. 

Statutory Authority G.S. 143-215. 3(a); 
143-21 5.3B(c); 143-2 IS.3B(e). 

SECTION .0200 - WASTE NOT DISCHARGED 
TO SURFACE WATERS 

.0203 DEFINITION OF TERMS 

The terms used in this Section shall be as de- 
fined in G.S. 143.213 except for G.S. 143-213(15) 
and (18)a. and as follows: 
(1) "Agronomist" means an individual who is 
a Certified Professional Agronomist by 
ARCPACS (American Registry of Certified 
Professionals in Agronomy, Crops and Soil) 
or an individual with a demonstrated know- 



ledge m agronomy. 

(2) "Bedrock" means any consolidated or co- 
herent and relatively hard, naturally-formed 
mass of mineral matter which cannot be 
readily excavated without the use of ex- 
plosives or power equipment. 

(44 Qj "Building" means any structure or part 
of a structure built for the separate shelter 
or enclosure of persons, animals, chattels, 
or property of any kind and which has en- 
closing walls for at least 50 percent to its 
perimeter. Each unit separated from other 
units by a four hour fire wall shall be con- 
sidered as a separate building. 

(4) (4) "Building drain" means that part of the 
lowest piping of a drainage system which 
receives waste from inside the building and 
conveys it to the building sewer which be- 
gins ten feet outside the building wall. 

Q) (5) "Building sewer" means that part of the 
horizontal piping of a drainage system which 
receives the discharge of the building drain 
and conveys it to a public sewer, private 
sewer, or on-site sewage disposal system. 

(4) (6| "C horizon" means the unconsolidated 
material underlying the soil solum, which 
may or may not be the same as the parent 
material from which the solum is formed but 
is below the zones of major biological ac- 



tivity and exhibits characteristics more simi- 
lar to rock than to soil. 

(4) [7] "Director" means the Director of the 
Division of Environmental Management, 
Department of Natural Resources and 
Community Development or his delegate. 

f6) (8] "Dedicated site" means a site: 

(a) to which sludge is applied at rates or fre- 
quencies greater than agronomically justi- 
fiable, or a* agronomic ratoo where the 
primary use of the land is for sludge dis- 
posal and crop or ground cover pro- 
duction is of secondary importance, or 

(b) any sludge disposal site 
designated by the director. 

f74 (9| "Division" means the Division of Envi- 
ronmental Management, Department of 
Natural Resources and Community Devel- 
opment. 

f&) (10) "Groundwaters" means those waters 
in the saturated zone of the earth. 

(9) (11) "Industrial wastewater" means all 
wastewater other than sewage and includes: 

(a) wastewater resulting from any process of 
industry or manufacture, or from the de- 
velopment of any natural resource; 

(b) wastewater resulting from processes of 
trade or business, including wastewater 
from laundromats and car washes, but not 
wastewater from restaurants; 

(c) stormwater will not be considered to be 
an industrial wastewater unless it is con- 
taminated with an industrial wastewater; 

(d) any combination of sewage and industrial 
wastewater. 

(44)) ( 12) "Pollutant" means waste as defined in 
G.S. 143-213(18). 

(444 (13) "Private sewer" means any part of a 
sewer system which collects wastewater from 
more than one building, is privately owned 
and is not directly controlled by a public 
authority. 

(4-3) ( 14) "Professional engineer" means a per- 
son who is presently registered and licensed 
as a professional engineer by the North Ca- 
rolina State Board of Registration For Pro- 
fessional Engineers and Land Surveyors. 

(44) ( 15) "Public or community sewage 
system" means a single system of sewage 
collection, treatment, and/or disposal owned 
and operated by a sanitary district, a metro- 
politan sewage district, a water and sewer 
authority, a county, a municipality, or a 
public utility. 

(4-4) ( 16) "Public sewer" means a sewer located 
in a dedicated public street, roadway, or 
dedicated public right-of-way or easement 
which is owned or operated by any munici- 



. 



NORTH CAROLINA REGISTER 



SH9 



PROPOSED RULES 



pality, county, water or sewer district, or any 
other political subdivision of the state au- 
thorized to construct or operate a sewer 
system. 

(17) "Rapid infiltration system" means rotary 
distributor systems or other similar systems 
that dispose of tertiary treated waste at high 
surface area loading rates. 

(44) (18) "Sewage" means the liquid and solid 
human waste, and liquid waste generated by 
domestic water-using fixtures and appli- 
ances, from any residence, place of business, 
or place of public assembly. Sewage does 
not include wastewater that is totally or 
partially industrial wastewater, or any other 
wastewater not considered to be domestic 
waste. 

(44) ( 19) "Sewer system" means pipelines or 
conduits, pumping stations, and appliances 
appurtenant thereto, used for conducting 
wastes to a point of ultimate disposal. 

(+fy (20) "Sludge" means any solid or semisolid 
waste generated from a wastewater treatment 
plant, water supply treatment plant or air 
pollution control facility permitted under the 
authority of the Environmental Manage- 
ment Commission. 

(21 ) "Soil Scientist" means an individual who 
is a Certified Professional m Soils through 
the N.C. Soil Science S ociety or a Certified 
Professional Soil Scientist or Soil Specialist 
bv ARCPACS (American Registry of Cer- 
tified Professionals in Agronomy, Crops and 
Soils) or an individual with a demonstrated 
knowledge in soils science. 

f4&) [22] "Staff" means the staff of the Division 
of Environmental Management, Depart- 
ment of Natural Resources and Community 
Development. 

(49} (23) "Subsurface ground absorption sewage 
disposal system" means a waste disposal 
method which distributes waste beneath the 
ground surface and relies primarily on the 
soil for leaching and removal of dissolved 
and suspended organic or mineral wastes. 
Included are systems for public or commu- 
nity sewage systems and systems which are 
designed for the disposal of industrial wastes. 

(-3% (24) "Surface waters" means all waters of 
the state as defined in G.S. 143-213(20) ex- 
cept underground waters. 1 and application 
systems utilizing subsurface sludge injection 
are not included. 

(25) "Toxicity test 



amendments or additions of this document 
as is allowed by G.S. 150B- 14(c). 
(4+) (26) "Treatment works or disposal system 
which does not discharge to surface waters" 
means any treatment works or disposal sys- 
tem which is designed to: 

(a) operate as closed system with no discharge 
to waters of the state, or 

(b) dispose of wastes, including residual 
sludges, alter treatment to the surface of 
the land, or 

(c) dispose of wastes through a subsurface 
absorption system. 

(33) (27) "Underground waters" means all wa- 
ters in the subsurface including infiltration 
a«4 groundwaters, waters in the unsatu- 
rated and saturated zone. 



conducted using 



means a test for toxicity 
the proced ures contained in 



40 OR 2ft 1, Appendix ]_1 as amended 
through July jL 19S6 or any later adopted 



Statutory Authority G.S. 130A-335; 143-213; 
/43-2/5.3(a}{'/). 

.0205 APPLICATION: PERMIT FEES: 
SUPPORTING INFORMATION: 
REQUIREMENTS 

(a) Jurisdiction. Applications for sewer system 
extensions under the jurisdiction of a local sewer 
system program shall be made in accordance with 
applicable local laws and ordinances. Applica- 
tions for permits from the division shall be made 
in accordance with this Rule as follows. 

(b) Applications. Application for a permit 
must be made in triplicate on official form com- 
pletely filled out, where applicable, and fully ex- 
ecuted in the manner set forth in Rule .0206 of 
this Section. A processing fee as described herein 
must be submitted with each application in the 
form of a check or money order made payable to 
N.C. Department of Natural Resources and 
Community Development. Applications may 
be returned if not accompanied by the processing 
fee. T he signature of the consulting engineer or 
other agent will be accepted on the application 
only if accompanied by a letter of authorization. 

(e) Proooooing Peer A ne» refundable proc 
ossing foe ef efte hundred dollar ; ) (S100.00) shall 
be oubmittod with each application, T"to proc 
ocoing foe wiH be charged fop modification ef«ft- 
oxpirod pormito whon the modifications a*e 
initiat e d by the dir e ctor to correct proooooing ee- 
rors, to chang e permit conditions, e* otherwis e 
to implement aew standards. 44te proooooing fee 
shall Htrt- apply to my farmer whe submits a» 
application which pertains to hi* farming opora 
tion. 44*e division shall net- require permit pro- 
cessing foes for permits issu e d by local sower 
system programs. 

(c) Permit Fees: 



890 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



(1) Permit Application Processing Fees. For 
every application for new or revised per- 
mit under this Section, a nonrefundable 
application processing fee in the amount 
stated in Subparagraph (5) of this Para- 
graph shall be submitted at the time of 
application. 

(A) Each permit or renewal application is 
incomplete until the application process- 
ing fee is received; 

(B) For a facility with multiple treatment 
units under a single permit, the processing 
fee shall be set by_ the total design treat- 
ment capacity; 

(C) No processing fee will be charged for 
modification of unexpired permits when 
the modifications arc initiated by the di- 
rector; 

(D) A processing fee of twentv-five dollars 
($25.00) will be charged for minor mod- 
ifications such as name changes; 

(E) A full application processing fee will be 
charged for major modifications specif- 
ically including any which increase the 
design capacity; this fee will be in the 
same amount as shown in Subparagraph 
(5) of this Paragraph for standard appli- 
cations. 

(2) Annual Administering and Compliance 
Monitoring tees. An annual fee for ad- 
ministering and compliance monitoring 
shall be charged in each year of the term 
of every renewable permit according to 
the schedule in Subparagraph (5) of this 
Paragraph. Annual fees will not be 
charged for permits which do not require 
renewal. 

(A) Collection of annual fees shall begin 
upon approval of this Rule for new or 
modified permits; 

(B) Annual administering and compliance 
monitoring fees must be paid for any fa- 
cility operating on an expired permit after 
the effective date of this Rule. The direc- 
tor shall establish an anniversary date for 
such a facility and notify the responsible 
party of the requirement to pay annual 
fees; 

(C) For any permit which undergoes a 
major modification which requires an ap- 
plication processing fee in accordance 
with Subparagraph ( 1) of this Paragraph, 
the annual administering and compliance 
monitoring fee shown in Subparagraph 
(5) of this Paragraph must be paid for 
each whole permit-year left in the dura- 
tion of its permit; 



(D) For a facility wjth v Hjultip_le treatment 
units under a single permit, the annual 
administering and compliance monitoring 
fee shall be set by_ the single treatment 
system with the highest fee in the fee 
schedule; 

(E) A person with only one permit will be 
billed annually on an anniversary date to 
be determined by the division. This will 
normally be the first day of the month of 
permit issuance; 

(F) A person with multiple permits may 
have annual administering and compli- 
ance monitoring fees consolidated into 
one annual bill; 

(G) Any permittee which has maintained 
full compliance with all permit conditions 
during the previous calendar year will 
have its administering and compliance 
monitoring annual fee reduced by 25 per- 
cent. Permittees operating under interim 
limits, judicial orders, or special orders by 
consent will not be eligible for any dis- 
count. Full compliance will be estab- 
lished if it can be certified by the director 
that no Notice of Noncompliance or No- 
tice of Violation was sent to the permittee 
during the compliance period being con- 
sidered. If a Notice of Noncompliance 
or a Notice of Violation was based on er- 
roneous information, the director can 
send a letter of correction to the permittee 
clearing the record for compliance pur- 
poses; 

(H) A change in the facility which changes 
the annual fee set by Subparagraph (5) of 
this Paragraph will result in the revised 
annual fee being billed in all remaining 
whole permit years; 

(I) A facility not yet in operation or which 
has ceased all operations at a site will not 
be required to pay the next annual ad- 
ministering and compliance monitoring 
fee provided operations are not started or 
resumed during that permit year. Any 
operations will necessitate the payment of 
the entire annual fee for that year; 

recycle systems, which 
waste and do 



(J) Closed-loop 

store or recycle industrial 



01 



not discharge to the surface water, 
groundwater or land surface, shall be 
charged a constant annual administering 
and compliance monitoring fee for all 
sizes of facilities at the fee amount shown 
by Subparagraph (5) of this Paragraph. 
No fees are required to be paid under this 



Regulation by a farmer who submits an 



NORTH CAROLINA REGISTER 



t\ 



S9I 



PROPOSED RULES 



application or receives a permit that per- 
tains to his farming operations. 

(4) Failure to pay an annual administering 
and compliance monitoring fee within 30 
days after being billed may cause the divi- 
sion to initiate action to revoke the per- 
mit. 

(5) Schedule of Maximum Nondischarge 
Fees: 



Permit Application 
Processing Fee 



Category 



Standard 



> 1J30JL000 GPD 



Domestic or 
Cooling water 



10,001 - 

1 .000.000 GPD 
Domestic or 
Cooling Water 

1.001 - 
10,000 GPD 



Domestic or 
Cooline Water 



1000 GPD and 



Single family 
dwelling 

Sludge < = 300 
acres 

Sludge >300 
acres 



Sewer extensions 
(nondelcgated) 

Sewer extensions 
(delegate to 
municipalities) 

Closed-loop 
recycle system 



£50 



Simple 
Renewal 



$ 300 


$ 150 


300 


150 


250 


125 


250 


125 


200 


100 


200 


100 


120 


60 


250 


125 


250 


125 


200 


: 


100 





KM) 



Annual Administering and 
Compliance Monitoring Fee 



Categon' Standard 

> 1.000.000 GPD 



Domestic or 
Cooling water 



800 
600 



Compliance 
Reduction 

$ 600 

450 



10.001 - 400 300 

1,000,0'OOGPD 

Domestic or 

Cooling Water 300 225 

1,001 - 300 225 

10,000 GPD 
Domestic or 
Cooling Water 225 150 





1000 GPD and 



Single family 
dwelling 



acres 



Sludge < = 300 300 225 

500 375 



Sludge >300 
acres 

Sewer extensions 
(nondelegated) 

Sewer extensions 
(delegate to 
municipalities) 

Closed-loop 



150 



recycle system 



(6) A portion of the permit application proc- 
essing fees shown in the fee schedule in 
Subparagraph (5) of this Paragraph will 
be transferred into the Wastewater Treat- 
ment Works Emergency Maintenance, 
Operation and Repair Fund according to 
the following schedule: 

(A) All facilities treating domestic waste- 
water with design flows of 100,000 gallons 
per day or less, except single family 
dwellings, seventy-five dollars ($75.00); 

(D) Single family dwellings, forty dollars 
($40.00); and 

(C) All facilities with design flows greater 
than 100,000 gallons per day, zero. 

(7) When the total value of the Wastewater 
Treatment Works Emergency Mainte- 
nance, Operation and Repair Fund, as 
certified by the State Treasurer, is at least 
seven hundred fifty thousand dollars 
I $750.000.00) at the end of a quarter, the 
application processing fees for facilities 
with capacities of one hundred thousand 
gallons per day (100,000 GPD) or less 
shall be reduced bv the amounts being 
transferred under Subparagraph (6) of this 
Paragraph. This reduction shall continue 



89 2 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



until, at the end of some subsequent 
quarter, the State Treasurer certifies that 
the fund's balance is less than seven hun- 
dred fifty thousand dollars ($750,000.00), 
in which case the full amount of the ap- 
plication processing fees as listed in Sub- 
paragraph (5) of this Paragraph shall be 
charged. 
(d) Supporting Documents and Information. 
This Paragraph outlines those supporting docu- 
ments and information which must be submitted 
for sewers, sewer extensions, and disposal sys- 
tems and wastewater treatment works which do 
not discharge to the surface waters of the state. 
(1) For all facilities: 

(A) Required sets of plans and specifica- 
tions: 

(i) regular projects — three sets of de- 
tailed plans and specifications signed 
and sealed by a professional engineer; 
(ii) federal and state grants projects — 
four sets of detailed plans and specifi- 
cations plus federal assurances required 
by appropriate federal agency; 

(B) Specifications describing all materials 
to be used, methods of construction and 
means for assuring the quality and integ- 
rity of the finished project; 

(C) A general location map, showing ori- 
entation of the facility with reference to 
at least two geographic references (num- 
bered roads, named streams/rivers, etc.); 

(D) A description of the origin, type and 
flow of waste to be treated. Waste analy- 
sis must be extensive enough to allow a 
complete evaluation of the system to treat 
the waste and any potential impacts on 
the waters of the state; 

(©} [E} When required, a statement sub- 
mitted that the wastewater treatment fa- 
cility involved will be properly 
disconnected and the wastewater dis- 
charged into an adequate district or mu- 
nicipal system when it becomes available; 

f£} (FJ Permits which result in construction 
of facilities which will be funded by public 
monies may require environmental doc- 
umentation pursuant to the North Caro- 
lina Environmental Policy Act. Permit 
applications for which such documenta- 
tion is required will not be considered 
complete until supported by the required 
documentation; 

fpf (G) If more than one contiguous acre 
of land is to be uncovered by a project, 
documentation should be supplied verify- 
ing that the applicant has completed or is 
working with the appropriate regional en- 



gineer of the Land Quality Section on the 
completion of an erosion control plan. 

(2) For wastewater facilities specified in G.S. 
143-215.1 (dl) that are or will be jointly 
or commonly owned, either a copy of a 
properly executed operational agreement 
or evidence to show that the applicant has 
been designated as a public utility by the 
State Utilities Commission. 

(3) For sewers and sewer extensions: 

(A) design flow; 

(B) rate of infiltration in gallons per day per 
inch of pipe diameter per mile of pipe; 

(C) letter of agreement from owner or 
proper official of treatment works accept- 
ing the wastewater, if application is not 
submitted by owner or proper official 
having charge of treatment works; 

(D) plan and profile of sewers, showing 
their proximity to other utilities and na- 
tural features, such as water supply lines, 
water lines, storm drains, surface waters, 
roads and other trafficked areas. 

(E) Construction of sewers and sewer ex- 
tensions are prohibited in the following 
areas unless the specified determinations 
are made: 

(i) in a natural area designated on the 
State Registry of Natural Heritage Ar- 
eas by a protection agreement between 
the owner and the Secretary of the N.C. 
Department of Natural Resources and 
Community Development, unless the 
EMC agrees that no prudent, feasible 
or technologically possible alternative 
exists; 
(ii) in a natural area dedicated as a North 
Carolina Nature Preserve by mutual 
agreement between the owner and State 
of North Carolina (Governor and 
Council of State), unless the EMC re- 
commends and the Governor and 
Council of State agree that no prudent, 
feasible or technologically possible al- 
ternative exists. 

(4) For pumping stations: 

(A) design calculations for pump and force 
main sizing; 

(B) plan and profile of sewers, showing 
their proximity to other utilities and na- 
tural features, such as water supply lines, 
water lines, storm drains, surface waters, 
roads and other trafficked areas; 

(C) pump station site location map; 

(D) name and classification of adjacent 
surface waters which could be affected by 
a failure. 



NORTH CAROLINA REGISTER 



893 



PROPOSED RULES 



(5) For subsurface ground absorption sys- 
tems: 

(A) soil evaluation of the disposal site con- 
ducted by a soils scientist down te the tep 

i \ t t li.i I 1-t si «-« "tAfV ■ t n Q ij^^^j^^r 1_L * "* ■ L ■' i t-1 i 

CTT rTTw ^-" I l\H 17-TJ IT (11 ITS ULV l/VI FT I IVW 73CEX j 

to adequately evaluate the soils to be 
utilized for treatment and disposal down 
to a depth of seven feet to include, but is 
not limited to, field descriptions of tex- 
ture; porooity, color; percolation ruto, 6el4 
capacity, total structure, the depth thick- 
ness and type of restrictive horizons; ea- 
frieft exchange capacity, the presence or 
absence and depth of evidence of any 
seasonal high water table; a«4 his rec- 
ommendations concerning application 
rates of liquids, solids, mineralo and other 
wastewater constituents; ef the wastuwa 
teft field estimates of saturated hydraulic 
conductivity in the most restrictive hori- 
zon; and cation exchange capacity. Ap- 
plicants may be required to dig pits when 
necessary for proper evaluation of the 
soils at the site; 

(B) design data; 

(C) plans of complete system including plan 
and profile and cross section views for all 
relevant system components; 

(D) a map of the site, with topographic 
contour intervals not exceeding two feet 
w 2$ percent »f total site r e lief, whichever 
is \m&i and showing all facility-related 
structures within the property boundary 
and the location of all wells, springs, lakes, 
ponds, or other surface drainage features 
within 500 feet of the principal waste 
treatment/disposal site(s); 

(E) For systems treating industrial waste, 
and any system with a design flow of over 
25,000 gpd, a hydrogeologic and soils de- 
scription of the subsurface to a depth of 
20 feet or bedrock, whichever is less. The 
number of borings shall be sufficient to 
define the following for the area underly- 
ing each major soil type at the disposal 
site: 

(i) significant changes in lithology un- 
derlying the site; 
(ii) the vertical permeability of the un- 
saturated zone and the hydraulic con- 
ductivity of the saturated zone, and 
(iii) depth to the mean seasonal high 
water table (if definable from soil mor- 
phology or from evaluation of other 
applicable available data); 

(F) For all projects with a design flow of 
greater than 25.000 gpd, a determination 
of transmissivity, or hydraulic conductiv- 



ity, or permeability of the unconfined 
aquifer. Values for aquifer transmissivity, 
hydraulic conductivity or permeability 
coefficients must be determined using 
site-specific data and derived from field 
test or laboratory measurements using one 
or more of the following: 
(i) withdrawal or recovery tests utilizing 
a network of pumping and observation 
wells; 
(ii) constant or variable head permeam- 
eters conducted on samples, collected 
with a sampling device that will not re- 
quire remoulding of the sample for use 
in the permeameter; 
(iii) slug tests conducted in the saturated 
zone utilizing fluid recharge or with- 
drawal in either cased or uncased bore- 
holes, and 
(iv) any other method approved by the 
director. 
fF) (G) Information on the location, con- 
struction details, and primary usage 
(drinking water, process water, monitor- 
ing, etc.) of all wells within 500 feet of the 
waste treatment/disposal area; 
(4*} (H) Degree of treatment (primary, sec- 
ondary, tertiary); 
(44} [jQ For industrial waste a complete 
chemical analysis of the typical wastewa- 
ter or sludge to be discharged, may include 
but not limited to Total Organic Carbon, 
BOD, COD, Chlorides, Phosphorus, 
Ammonia, Nitrates, Phenol, Total Triha- 
lomethanes, &P Toxicity test parameters, 
Total Halogenated Compounds, Total 
Conforms and Total Dissolved Solids; 
(ty (J) proposed location and construction 
details of a monitoring well network. 
(6) For land application of sludge on other 
than dedicated sites: 

(A) a map of the site with topographic 
contour intervals not exceeding 10 feet or 
25 percent of total site relief, whichever is 
less, and showing all facility related struc- 
tures within the property boundary and 
the location of all wells, pits and quarries, 
springs, lakes, ponds, or other surface 
drainage features within 500 feet of the 
disposal site; 

(B) a soil scientist's recommendations con- 
cerning application rates of liquids, solids, 
minerals and other wastewater constitu- 
ents; 



(C) a project evaluation conducted by an 
agronomist including recommendations 
concerning cover crops and their ability to 
accept the proposed application rates of 



894 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



liquids, solids, minerals, and other waste- 
water constituents; 
(D) project description for the land appli- 
cation system, including treatment, stor- 
age, land application method, equipment, 
and a receiver management plan; 

(F) for industrial wastes, a complete chem- 
ical analysis of the typical wastewater or 
sludge to he applied may include, hut is 
not limited to percent Total Solids, pH, 
NH3-N, NQ3-N, 1 KN, Total Phospho- 
rus, Potassium, Toxicity test parameters, 
Cadmium, Chromium, Copper, lead, 
Nickel, Zinc, Mercury, Arsenic, Selenium; 

(T) information on the location, con- 
struction details, and primary usage 
(drinking water, process water, monitor- 
ing, etc.) of al| wells within 300 feet of the 
disposal site; 

(G) Tor sites previously permitted: Soil 
evaluation of the application sites by a 
soils scientist to confirm or establish the 
soil map through field evaluation of soil 



texture; color; structure; the depth, thick- 
ness, and type of restrictive horizons; the 
presence or absence of seasonal high water 
table within three vertical feet of the sur- 
face or subsurface application depth; and 
cation exchange capacity; 
(II) For sites not previously permitted: 
rij A CSDA-SCS soils map of the ap- 
plication site. In addition, a soil evalu- 
ation of the application site by a Soils 
Scientist, to verify the accuracy of the 
SCS soils map regarding the presence 
or absence of a seasonally high water 
table or bedrock within three vertical 
feet of the deepest point of sludge ap- 
plication; and cation exchange capacity; 
(ii) If a CSDA-SCS soils map of the ap- 
plication site is not available, soil eval- 
uation of the disposal site by a soils 
scientist down to a depth of seven feet 
or the ^C 
to develop a sou 



horizon , whichever is less, 
1 map through field 



evaluation of soil texture; color; the 
depth; thickness, and type of restrictive 
horizons; the presence of absence of a 
seasonal high water table, or bedrock 
within three vertical feet of the deepest 
point of sludge application; and cation 
exchange capacity. 
(6) (7| Tor spray irrigation, land application 
on dedicated sites, or sludge disposal sys- 
tems and treatment works, except for fe- 
tefy distributor rapid infiltration disposal 
systems and systems for composting 
sludge for land application: 



(A) a map of the site, with topographic 
contour intervals not exceeding 10 feet or 
25 percent of total site relief, whichever is 
less, and showing all facility-related struc- 
tures within the property boundary and 
the location of all wells, pits and quarries, 
springs, lakes, ponds, or other surface 
drainage features within 500 feet of the 
waste treatment/disposal site(s); 

(B) excepting the application e4 sludge a* 
other tJ*a» dedicated rites, the information 
specified in Subsections (d) (5) (E), (F) 
(G) aft4 ( H) and ( I) of this Rule; 

(C) soil evaluation of the disposal site con- 
ducted by a soils scientist, down V» the tef* 
ef Urn^G^ horiiion, to adequately evaluate 
the soils to be utilized for treatment and 
disposal down to a depth of seven feet to 
include, but is not limited to field de- 
scriptions of texture; porosity, color; 
structure; percolation rate, fie!4 capacity, 
total the depth; thickness and type of re- 
strictive horizons; cation exchange capac 
ityr the presence or absence and depth of 
evidence of any seasonal high water table; 
af*4 his recommendations concerning ap- 
plication rates of liquids, solids, minerals 
and other wastewater constituents; ©I &*> 
wastewater; field estimates or measure- 
ments of saturated hydraulic conductivity 
in the most restrictive horizon; and cation 
exchange capacity. Applicants may be 
required to dig pits when necessary for 
proper evaluation of the soils at the site. 

(D) a project evaluation conductod and a 
receiver site management plan (if applica- 
ble) prepared by a qualified agronomist 
and his recommendations concerning 
cover crops and their ability to accept the 
proposed application rates of liquid, sol- 
ids, minerals and other constituents of the 
wastewater; 

(E) complete plans and specifications for 
the entire system, including treatment, 
storage, application, and disposal facilities 
and equipment. Treatment works previ- 
ously permitted will not need to be 
shown, unless they are directly tied into 
the new units or are critical to the under- 



standing of the complete process; 
(F) fe industrial waoto, a complete chemi- 
cal analysis of the typical wastewater or 
sludge to be discharged, treated, may in- 
clude but not limited to Percent Total 
Solids, pH, Total Organic Carbon, BOD, 
COD, Chlorides, Sodium, Phosphorus, 
Sulfides, Bicarbonate, Magnesium, Ni- 
trates, Phenol, Total Trihalomethanes, 



/WORTH CAROLINA REGISTER 



,S95 



PROPOSED RULES 



EP Toxicity test parameters, Total Halo- 
genated Compounds, Total Coliforms and 
Total Dissolved Solids; 

(G) Excepting the application »f sludge at- 
other than dedicated sites, proposed lo- 
cation and construction details of a mon- 
itoring well network; 

(II) Information on the location, con- 
struction details, and primary usage 
(drinking water, process water, monitor- 
ing, etc.) of all wells within the perimetor 
&i complianc e specified m Rule ife .010J 
(+4 ef th« Chapter. 500 feet of the dis- 
posal site. 
(4+ [8] For systems for composting sludge for 
land application: 

(A) a map of the site, with topographic 
contour intervals not exceeding 10 feet or 
25 percent of total site relief, whichever is 
less, and showing all facility-related struc- 
tures within the property boundary and 
the location of all wells, springs, lakes, 
ponds, or other surface drainage features 
within 500 feet of the principal waste 
treatment/disposal site(s); 

(B) complete plans and specifications for 
the entire system, including facilities and 
equipment for treatment, storage and pre- 
paration for disposal; 

(C) for industrial waste, a hydrogeologic 
description of the subsurface, to a depth 
of 20 feet or bedrock, whichever is less. 
The number of borings shall be sufficient 
to defme the following for the area un- 
derlying each major soil type at the dis- 
posal site: 

(i) significant changes in lithology un- 
derlying the site; 

(ii) the vertical permeability of the un- 
saturated zone and the hydraulic con- 
ductivity of the saturated zone; and 

(lii) depth to the mean seasonal high 
water table (if definable from soil mor- 
phology or from evaluation of other 
applicable available data); 

(D) proposed location and construction 
details of a monitoring well network. 

f&) (9) For closed system or recycle disposal 
systems and treatment works: 
(A) for industrial waste, a complete chemi- 
cal analysis of the typical wastewater or 
sludge to be discharged, may include but 
not limited to Total Organic Carbon, 
BOD, COD, Chlorides, Phosphorus, Ni- 
trates, Phenol, Total Trihalomethanes, 
EP Toxicity test parameters, Total Ilalo- 
genated Compounds, Total Coliforms and 
Total Dissolved Solids; 



(B) plans and specifications of the entire 
system. When necessary for an under- 
standing of a treatment process, the ap- 
plicant should also submit process flow 
diagrams; 

(C) For industrial waste, a hydrogeologic 
description of the subsurface to a depth 
of 20 feet or bedrock, whichever is less. 
The number of borings shall be sufficient 
to define the following for the area un- 
derlying each major soil type at the dis- 
posal site: 

(i) significant changes in lithology un- 
derlying the site; 
(ii) the vertical permeability of the un- 
saturated zone and the hydraulic con- 
ductivity of the saturated zone; and 
(iii) depth to the mean seasonal high 
water table (if definable from soil mor- 
phology or from evaluation of other 
applicable available data). 
(£» £]0} For Fekny distributors: RAPID IN- 
FILTRATION SYSTEMS: 

(A) a map of the site, with a horizontal 
scale of one inch equal 1,000 feet or less 
and topographic contour intervals not ex- 
ceeding two feet or 25 percent of the total 
site relief, whichever is less, and showing 
all facility-related structures within the 
property boundary and the location of all 
wells, springs, lakes, ponds or other sur- 
face drainage features within 500 feet of 
the principal waste treatment /disposal 
site(s); 

(B) hydrogeological information describing 
the vertical and horizontal extent and li- 
thologic character of the unconfined 
aquifer and its hydraulic relationship to 
the first confined aquifer beneath the site 
and the vertical permeability and thickness 
of the confining bed. The information 
must also include a determination of the 
transmissivity and specific yield of the 
unconfined aquifer, determined by either 
a withdrawal or recharge test; 

(C) a determination of the quality and 
movement of groundwater and surface 
water in the area and an evaluation of the 
impact that the proposed system will have 
on water levels, movement and quality of 
waters; 

(D) complete plans and specifications for 
the entire system, including treatment 
storage and rotary distributor facilities and 
equipment; 

(E) the information specified in .0205 (d) 
(5) (H); 



S96 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



(F) proposed location and construction de- 
tails of monitoring well network; 

(G) proposed monitoring plan including the 
method of determining groundwater levels 
and quality of water parameters and fre- 
quency of sampling. 

Statutory Authority G.S. 143-215.1; 

143-215.3(a)(I); 143-2 15.3B(b). 

.0208 STAFF REVIEW AND PERMIT 
PREPARATION 

(a) The staff of the permitting agency shall 
conduct a review of plans, specifications and 
other project data accompanying the application 
and shall determine if the application and re- 
quired information are complete. The staff shall 
acknowledge receipt of a complete application. 
The local government unit or units having juris- 
diction over specific residential projects shall be 
notified of permit applications in accordance with 
N.C.G.S. 143-215.1 (dl). 

(b) If the application is not complete with all 
required information, the staff shall advise the 
applicant by mail: 

(1) how the application or accompanying 
supporting information may be modified 
to make them acceptable or complete; 

(2) that the 90 day processing period required 
in G.S. 143-215.1 and Rule .0209 of this 
Section begins upon receipt of corrected 
or complete application with required 
supporting information; 

(3) that, if complete plans with all required 
information are not resubmitted within 60 
days, the application packet will be re- 
turned to the applicant as "incomplete". 

(c) Pursuant to G.S. 143-215.67(a), the staff of 
e division shall determine for sewer system 

onstruction or sewer system extensions, whether 
e treatment works or the sewer system to which 
e ftew proposed system will oonnoct discharge 
adequate to receive waste which will be dis- 
arged te the Hew from the proposed system. 
s (d) For treatment works and disposal systems, 
e staff shall make a site-specific evaluation to 
stermine the potential impacts of the proposed 
roject on surface and ground water quality. 

tatutory Authority G.S. 143-215.1 (b); 
t3-215.1 (d); 143-215.3 (a) (1); 143-215.3 (a) 
I). 

>212 ADMINISTRATIVE HEARINGS 
(REPEALED) 

[atutory Authority G.S. 143-215. 1(e); 
\3-2I5.3(a)(l); 143-21 5.4. 



(2) 
(3) 



.0213 MODIFICATION AND REVOCATION 
OF PERMITS 

Any permit issued by the division pursuant to 
these Rules is subject to revocation, or modifi- 
cation upon 60 days notice by the director in 
whole or part for good cause including but not 
limited to: 
(1) violation of any terms or conditions of the 
permit; 

obtaining a permit by misrepresentation or 
failure to disclose fully all relevant facts; 
refusal of the permittee to permit allow au- 
thorized employees of the Department of 
Natural Resources and Community Devel- 
opment upon presentation of credentials: 
(a) to enter upon permittee's premises on 
which a system is located in which any 
records are required to be kept under 
terms and conditions of the permit; 
to have access to any copy and records 
required to be kept under terms and con- 
ditions of the permit; 
to inspect any monitoring equipment or 
method required in the permit; or 
to sample any discharge of pollutants. 
failure to pay the annual fee for adminis- 



(b) 



(c) 

(d) 
[41 



tering and compliance monitoring. 

Statutory Authority G.S. 143-215. 1(b)(2); 143- 
215.3(a)(1). 

.0219 MINIMUM DESIGN REQUIREMENTS 

(a) All facilities requiring a permit pursuant to 
this Section shall be designed following good en- 
gineering practice and shall not result in nuisance 
conditions. The plans and specifications must 
be otampod ft«4 sealed by a Professional Engi- 
neer. 

(b) Waste, including treated waste, shall not 
be placed directly into, or in contact with, GA 
classified groundwater unless such placement will 
not result in a contravention of GA groundwater 
standards, as demonstrated by predictive calcu- 
lations or modeling methods acceptable to the 
director. 

(c) Impoundments, trenches or other exca- 
vations made for the purpose of storing or treat- 
ing waste will not be excavated into bedrock 
unless the placement of waste into such exca- 
vations will not result in a contravention of as- 
signed standards, as demonstrated by predictive 
calculations or modeling methods acceptable to 
the director. 

(d) The bottoms of earthen impoundments, 
trenches or other similar excavations with the 
exception of nitrification fields, infiltration sys- 
tems, and sewer line excavations shall be at least 



NORTH CAROLINA REGISTER 



897 



PROPOSED RULES 



four feet above the bedrock surface, except that 
the bottom of excavations which are less than 
four feet above bedrock shall have a liner with a 
hydraulic conductivity no greater than 1 x 10-7 
centimeters per second. Liner thickness will be 
that thickness necessary to achieve a leakage rate 
consistent with the sensitivity of classified 
groundwaters. Separation distances or liner re- 
quirements may be reduced if it can be demon- 
strated by predictive calculations or modeling 
methods acceptable to the director, that con- 
struction and use of these treatment and disposal 
units will not result in contravention of assigned 
standards. 

(e) Industrial waste shall not be applied or dis- 
charged onto or below the land surface when the 
vertical separation between the waste and the 
seasonal high water table is less than one foot. 
If the area to be utilized has a separation of less 
than three feet, and in other areas as designated 
by the director, a demonstration must be made 
using predictive calculations or modeling meth- 
ods, acceptable to the director, that such place- 
ment will not result in contravention of classified 
groundwater standards. 

(f) Treatment works and disposal systems uti- 
lizing earthen basins, lagoons, ponds or trenches, 
excluding nitrification fields, infiltration systems, 
and holding ponds containing treated effluent 
prior to spray irrigation, for treatment, storage 
or disposal shall have either a liner of natural 
material at least one foot in thickness and having 
a hydraulic conductivity of no greater than 1 x 
10-6 centimeters per second when compacted, or 
a synthetic liner of sufficient thickness to exhibit 
structural integrity and an effective hydraulic 
conductivity no greater than that of the natural 
material liner. 

(g) Except as otherwise provided by these re- 
quirements or by terms of a permit, all waste 
treatment, storage and disposal facilities must 
maintain and operate a groundwater monitoring 
system as approved by the division. The moni- 
toring system must be designed to assess the im- 
pact of any discharge on the quality of the 
underlying groundwaters and must be based on 
the results of the hydrogeologic investigation. 

(h) For pumping stations: 

(1) no by-pass or overflow lines; 

(2) multiple pumps shall be provided capable 
of pumping at a rate of 2.5 times the av- 
erage daily flow rate with any one pump 
out of service. Pump-on Pump-off ele- 
vations shall be located set such that 2-8 
pumping cycles per hour may be achieved 
in the pump station at ave raize flow. If 
extended detention times are necessary 



due to phased development, the need for 
odor and corrosion control must be eval- 
uated by the applicant; 

(3) where waters classified as WS, SA, B or 
SB could be impacted by a power failure, 
at least one of the following shall be re- 
quired: 

(A) dual source or standby power supply 
on site or; 

(B) telemetry systems with sufficient num- 
bers of standby generators and personnel 
for distribution or; 

(C) approval by the director that the pump 
station: 

(i) serves a private water distribution 
system which has automatic shut-off at 
power failure and no elevated water 
storage tanks, and 
(ii) has sufficient storage capacity that 

no potential for overflow exists, and 
(iii) is connected to facilities that can to- 
lerate septic wastewater due to pro- 
longed detention; 

(4) The need for screened vents must be 
evaluated for all wet wells; 

(5) high water alarms; 

(6) protection from a 100 year flood; 

(7) restricted access to the site and equipment; 

(8) all-weather roadway to the site. 

(i) For sewer systems and sewer system 
extensions: 

(1) All building drains and building sewers 
which are approved by the local building 
inspector in accordance with the North 
Carolina Building Code are deemed to be 
permitted by the Environmental Manage- 
ment Commission; 

(2) All sewers shall be designed based upon 
at least minimum standards which in- 
clude: 

(A) wastewater flow rate at design loading 
should result in the sewer flowing ap- 
proximately half full. The sewer must 
also be evaluated as to its ability to carry 
peak loadings; 

(B) a velocity of two feet per second; 

(C) construction and operation shall not 
result in water pollution; 

(D) infiltration rate limited to 200 gallons 
per day per inch of pipe diameter per mile 
of pipe; 

(E) construction and operation consistent 
with all applicable local ordinances; 

(F) for public sewers, a minimum eight inch 
diameter pipe; 

(G) minimum separations: 

(i) Storm sewers (vertical) - 12 inches 



<S9S 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



(ii) Water mains (vertical- water over 
sewer) - 18 inches or (horizontal) - 10 
feet 
(iii) In benched trenches (vertical) - 18 
inches 

(iv) Any private or public water supply 
source, including any YVS-I waters or 
Class I or Class II impounded reservoirs 
used as a source of drinking water - 100 
feet 

(v) Waters classified WS-I, WS-II, 
WS-III, B, SA, or SB [from normal 
high water (or tide elevation)] - 50 feet 
(vi) Any other stream, lake or im- 
poundment - 10 feet 
(vii) Any building foundation - 5 feet 
(viii) Any basement - 10 feet 
(ix) Top slope of embankment or cuts 
of 2 feet or more vertical height - 10 feet 
(x) Drainage systems 
(I) Interceptor drains - 5 feet 
(II) Ground water lowering and surface 

drainage ditches - 10 feet 
(xi) Any swimming pool - 10 feet 
(xii) Ferrous sewer pipe with joints 
equivalent to water main standards, 
shall be used where these minimum se- 
parations cannot be maintained. The 
minimum separation shall however not 
be less than 25 feet from a private well 
or 50 ft from a public water supply well. 
(II) Three feet minimum cover shall be 
provided for all sewers unless ferrous ma- 
teria] pipe is specified. Ferrous material 
pipe or other pipe with proper bedding to 
develop design supporting strength shall 
be provided where sewers are subject to 
traffic bearing loads; 
(I) The maximum separation between 
manholes shall be 425 feet unless written 
documentation is submitted with the ap- 
plication that the owner/authority has the 
capability to perform routine cleaning and 
maintenance on the sewer at the specified 
manhole separation; 
(J) Drop manholes shall be provided where 

invert separations exceed 2.5 feet; 
(K) Manholes shall be designed for 

100-year flood protection; 
(L) The need for air relief valves shall be 
evaluated at all high points along force 
mains; 
(M) Odor and corrosion control must be 
evaluated by the applicant for all sewers 
and force mains with extended travel 
times, 
(j) For treatment works and disposal systems: 
(1) no by-pass or overflow lines; 



(2) multiple pumps if pumps are used; 

(3) where waters classified as WS-I, WS-II, 
WS-III, B, SA, or SB could be impacted 
by a power failure, at least one of the fol- 
lowing: 

(A) dual or standby power supply on site, 
capable of powering all essential treatment 
components under design conditions, or 

(B) approval by the director that the facility: 
(i) serves a private water distribution 

system which has automatic shut-off at 

power failure and no elevated water 

storage tanks, and 
(ii) has sufficient storage capacity that 

no potential for overflow exists, and 
(iii) can tolerate septic wastewater due to 

prolonged detention; 

(4) protection from 100 year flood; 

(5) buffer zones of at least the following dis- 
tances, and greater where necessary to 
comply with Section 2H .0400 of this 
Subchapter or to address particular site 
or waste characteristics: 

(A) Any habitable residence or place of 
public assembly under separate ownership 
or which are to be sold: 

(i) for spray irrigation 
systems not covered by 
211 ,021Q(k) 

400 feet 
(ii) for surface sludge ap- 
plication 

400 feet 
(iii) for subsurface sludge 
injection 

200 feet 
(iv) for falcultative lagoons 

400 feet 
(v) for activated sludge 
plants or surface sand fil- 
ters 

100 feet 

(B) Any private or public 
water supply source 

100 feet 

(C) Streams classified as 
WS-I, WS-II, WS-III or B: 

(i) for subsurface disposal 

50 feet 
(ii) for non-discharge sur- 
face disposal 

100 feet 

(D) Waters classified SA or 
SB 

100 feet 
from normal 
high water 



NORTH CAROLINA REGISTER 



899 



PROPOSED RULES 



(E) Any other stream, canal, 






10 feet 


marsh, or coastal waters 




(M) Drainage systems 




(i) for subsurface disposal 




(i) Interceptor drains and 






50 feet 


surface water diversions 




(ii) for non-discharge sur- 




(upslope) 




face disposal 




(I) for subsurface dis- 






100 feet 


posal 




(E) Any Class I or Class II 






10 feet 


impounded reservoir used 




(II) for surface disposal 




as a source of drinking wa- 




other than spray irri- 




ter 




gation systems and ra- 






100 feet 


pid infiltration systems 






from normal 




WO 10 feet 




high water: 


(III) for spray irrigation 




(G) Any other lake or im- 




systems 




poundment: 






100 feet 


(i) for subsurface disposal 




(IV) for rapid infil- 






50 feet 


tration systems 




(ii) for surface disposal 






200 feet 




100 feet 


(ii) Interceptor drains and 




(H) Any building foundation 




surface water diversions 




except treatment facilities: 




(downslope) 




(i) for subsurface disposal 




(I) for subsurface dis- 






10 feet 


posal 




(ii) for surface disposal 






25 feet 




+9015 feet 


(II) for surface disposal 




(I) Any basement 




other than sprav irri- 




(i) for subsurface disposal 




gation systems and ra- 






1 5 feet 


pid infiltration systems 




(ii) for surface disposal 






+0025 feet 




40015 feet 


(III) for spray irrigation 




(J) Any property line 




systems 




(i) for spray irrigation 






100 feet 




150 feet 


(IV) for rapid infil- 




(ii) for other surface dis- 




tration systems 




posal systems 






200 feet 




100 feet 


(iii) Groundwater lowering 




(iii) for subsurface sludge 




and surface drainage 




injection 




ditches 






100 feet 


(I) for subsurface dis- 




(iv) for other surface 




posal 




treatment systems 






25 feet 




50 feet 


(II) for surface disposal 




(v) for other subsurface 




other than spray irri- 




systems 




gation systems and ra- 






4O50 feet 


pid infiltration systems 




(K) Top of slope of em- 






40025 feet 


bankments or cuts or two 




(III) for spray irrigation 




feet or more in vertical 




systems 




height 






100 feet 


(i) for subsurface disposal 




(IV) for rapid infil- 




systems other than rapid 




tration systems 




infiltration systems 






200 feet 




1 5 feet 


(N) Any swimming pool 




(ii) for surface disposal ra- 




(i) for subsurface disposal 




pid infiltration systems 






15 feet 




100 feet 


(ii) for surface disposal 




(L) Any water line 






100 feet 



900 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



(O) Any other nitrification 
field (except repair area) 

20 feet 
(P) Any well with the excep- 
tion of an approved 
groundwater monitoring 
well 

100 feet 
(Q) Public right-of-way sur- 
face disposal 

50 feet 

(6) adequate flow equalization for facilities 
with fluctuations in influent flow which 
may adversely affect the performance of 
the system; 

(7) preparation of an operational management 
plan, including restricted access to the site 
and equipment, and, if appropriate, a crop 
management plan; 

(8) except for facilities for single family resi- 
dences or as approved by the director, 
appropriate monitoring wells designed to 
assess the impacts on the groundwater of 
any discharge and constructed in accord- 
ance with Section 2C .0100 of this Chap- 
ter. 

(k) For Land Application of Domestic Waste- 
water on Golf Courses and Other Public Access 
Areas: 

(1) Aerated flow equalization facilities with a 
capacity of at least 25 percent of the daily 
system design flow. 

(2) All essential treatment and disposal units 
shall be provided in duplicate. 

(3) The treatment process shall produce an 
effluent with a monthly average TSS of 
less than 5 mg,l and a daily maximum 
TSS of less than 10 mg/1 and a maximum 
fecal coliform level of less than 1/100 ml, 
prior to discharge to a five-day detention 
pond. 

(4) There must be no public access to the 
five-day detention pond. 

(5) The size of the irrigation pond, that fol- 
lows the five day holding pond, shall be 
justified using a mass water balance for 
worse case conditions of record. 

(6) An automatically activated standby power 
source or other means to prevent im- 
properly treated wastewater from entering 
the five-day detention pond shall be pro- 
vided. 

(7) Requirements for the lining of the tive- 
day detention and irrigation ponds shall 
be site-specific. 

(8) In the design of the sprinkler system, the 
piping shall be a separate system, with no 
cross-connections to a potable water sup- 



ply (includes no spigots on the distrib- 
ution system). 
(9) The rate of application shall be site-spe- 
cific but not exceeding 1 and 3/4 
inches/week (as given in 2H .0404(g)(8). 

(10) The time of spraying shall occur between 
11:00 p.m. and three hours prior to the 
daily opening of the course. 

(11) There shall be a 100 foot vegetative buffer 
zone between the edge of spray influence 
and the nearest dwelling. 

(12) Signs shall be posted at the proshop 
stating that the course is irrigated with 
treated wastewater. 

(13) There shall be a certified operator of a 
class equivalent to the class plant on call 
24 hours/day. 

(1) Wastewater Flow Rates: 

(1) In determining the volume of sewage from 
dwelling units, the flow rate shall be 120 
gallons per day per bedroom. The mini- 
mum volume of sewage from each dwell- 
ing unit shall be 240 gallons per day and 
each additional bedroom above two bed- 
rooms will increase the volume by 120 
gallons per day. Each bedroom or any 
other room or addition that can reason- 
ably by expected to function as a bedroom 
shall be considered a bedroom for design 
purposes. When the occupancy of a 
dwelling unit exceeds two persons per 
bedroom, the volume of sewage shall be 
determined by the maximum occupancy 
at a rate of 60 gallons per person per day. 

(2) The following table shall be used to de- 
termine the minimum allowable design 
daily flow of wastewater facilities. Design 
flow rates for establishments not identified 
below shall be determined using available 
flow data, water-using fixtures, occupancy 
or operation patterns, and other measured 
data. 



Type of 


Daily Flow 


Establishments 


For Design 


Airports, also RR 




Stations, bus terminals. 




(not including food 


5 gal/ 


service facilities) 


passenger 


Barber Shops 


50 gal/ 




chair 


Bars, Cocktail Lounges 




(not including 




food services) 


20 gal/ 




seat 


Beauty Shops 


125 gal/ 




booth or 



NORTH CAROLINA REGISTER 



901 



PROPOSED RULES 





bowl 


( 1 ) Per 1 00 square feet 




Bowling Alleys 


50 gal/ 


of total floor space 


50 gal 




lane 


(2) Add per employee 


25 gal 


Businesses (other than 




Motels/ Hotel 


120 gal/ 


those listed in this 


25 gal/ 




room 


table) 


employee 


with cooking facilities 




Camps 




in room 


175 gal/ 


Construction or work 


60 gal/ 




room 


camps 


person 


Nursing/Rest Homes — 




Summer camps 


60 gal/ 


With laundry 


120 gal/ 




person 




bed 


Camp grounds Without 




Without laundry 


60 gal/ 


water and sewer 


100 gal/ 




bed 


hookups 


campsite 


Offices -- per shift 


25 gal/ 


Travel trailer recreational 






person 


vehicle park with water 


120/gal/ 


Residential Care 




and sewer hookup 


campsite 


Facilities 


60 gal/ 


Churches (not including 






person 


food service, day care 


3 gal/ 


Resort 


200 gal/ 


and camps) 


seat 




room 


Country Clubs 


60 gal/ 


Restaurants 


40 gal/ 


- Resident Members 


person 




seat 


Nonresident Members 


20 gal/ 




or 40 gal/ 




person 




15 ft sq. 


Day Care Facilities 


15 gal/ 




of dining 




person 




area 


Factories (exclusive of 






(whichever 


industrial wastes) - 


25 gal- 




is greater) 


- per shift 


person 


Schools 




Add for showers 


10 gal, 


Day Schools 




-- per shift 


person 


With cafeteria, gym, 




Food Service Facilities 




and showers 


15 gal/ 


Restaurants (including 






student 


fast food) 


40 gal/ 


With cafeteria only 


12 gal/ 




seat 




student 




or 40 gal/ 


With neither cafeteria 


10 gal/ 




1 5 ft sq of 


nor showers 


student 




dining area, 


Boarding 


60 gal/ 




whichever 




person 




is greater 


Service Stations 


250 gal/ 


24-hour Restaurants 


50 gal/ 




water closet 




seat 




or urinal 


Single-Service (exclusive 




Stadiums, Auditoriums, 




of fast food) 


25 gal/ 


Theaters, Drive-ins 


5 gal /seat 




seat 




or space 


Food Stands 




Stores, shopping centers 




(1) Per 100 square feet 




and malls -- Note: if 




of total floor space 


50 gal 


food service is included, 


120gal/ 


(2) Add per employee 


25 gal 


add 40 gal/seat 


1000 ft sq. 


Hospitals 


300 gal 


Swimming Pools and 






bed 


Bathhouses 


10 gal/ 


laundries (self-service) 


500 gal/ 
machine 




person 


Marinas 


10 gal/ 


(3) An adjusted daily sewage 


flow may be 




boat slip 


granted upon a showing that a sewage 


With bathhouse 


30 gal; 


system is adequate to meet actual daily 




boat slip 


water consumption from 


a facility in- 


Meat Markets 




eluded in Subparagraph (1) 


or (2) of this 



902 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



Paragraph. Documented, representative 
data from that facility or a comparable 
facility shall be submitted, consisting of 
at least 12 consecutive monthly total wa- 
ter consumption readings and daily total 
water consumption readings for at least 
30 consecutive days of water use. The 
daily readings shall be taken during a 
projected peak sewage flow month. The 
adjusted design daily sewage flow shall be 
determined by taking the numerical aver- 
age of the daily readings that fall within 
the upper 10 percent of the daily readings 
when ranked in descending order. 
(m) Additional requirements: 

(1) distance between water supply wells and 
waste facilities in accordance with Rule 
2C .0107(a) of this Chapter or, if a greater 
area may be impacted, a distance in ac- 
cordance with the perimeter of compli- 
ance described in Rule 2L 0103(h) of this 
Chapter; 

(2) compliance with the groundwater stand- 
ards specified in Subchapter 2L of this 
Chapter; 

(3) where applicable compliance with rules 
on "coastal waste treatment disposal" 
found in Section .0400 of this Subchapter; 
and 

(4) For subsurface disposal systems, compli- 
ance with rules on subsurface disposal 
systems found in Section .0300 of this 
Subchapter. 

(n) Alternative Design Criteria may be ap- 
proved by the director. This approval will only 
be given in cases where the applicant can dem- 
onstrate that the Alternative Design Criteria will 
provide the following: 

(1) Equal or better treatment of the waste; and 

(2) Equal or better protection of the waters 
of the state; and 

(3) No increased potential for nuisance con- 
ditions. 



Statutory Authority 

143-215.3(a)(l). 



G.S. 



143-215.1; 



0222 USE OF WASTEWATER TREATMENT 
WORKS EMERGENCY MAINTENANCE: 
OPERATION AND REPAIR FUND 

(a) In cases in which water quality standards 
are violated or an environmental health threat 
exists, monies from the Wastewater Treatment 
Works Emergency Maintenance, Operation and 
Repair Fund may be used at the discretion of the 
director to correct the cause of such conditions. 

(b) In this, the director shall: 

(1) Ensure the fiscal integrity of the fund; 



(2) Use the fund only as a measure of last re- 
sort to protect water quality or public 
health when all other compliance and en- 
forcement procedures have failed; 

(3) Limit the use of the fund to wastewater 
treatment works with design flow capaci- 
ties of less than or equal to one hundred 
thousand gallons per day (100,000 GPD); 

(4) Notify the permittee by certified mail of 
the intention to take emergency corrective 
action and to recoup monies spend; 

(5) Make every effort to recoup fund expend- 
itures, including collection costs, from the 
parties responsible; 

(6) Coordinate use of the fund with the pro- 
gram of the Public Utilities Commission 
when a permittee is also a regulated util- 
ity; and 

(7) Provide a quarterly accounting of the fund 
to the commission. 

Statutory Authority G.S. 143-2I5.3(a); 
143-215.3B(c); 143-2l5.3B(e). 

SECTION .0600 - AIR QUALITY PERMITS 

.0603 APPLICATIONS 

(b) A permit or permit renewal application 
shall be filed in writing with the Director, Divi- 
sion of Environmental Management, Depart- 
ment of Natural Resources and Community 
Development, P.O. Box 27687, Raleigh, N.C. 
27611. ¥&f oach plant »f facility, multiple a» 
e mission sourc e s may- be includ e d » eaeb permit 
application. Application for permit renewal or 
ownership transfer may be by letter to the direc- 
tor, if no alteration or modification has been 
made to the originally permitted source. A 
non-refundable permit ef permit renewal appli- 
cation processing fee shall accompany each ap- 
plication. The permit application processing fee 
rates are in Paragraph (e) Regulation .0609 of 
this Rule. Section. Each permit or renewal ap- 
plication is incomplete until the permit applica- 
tion processing fee is received. Payment shall be 
by- chock &f monoy order made payabl e i» foe 
N.C. Department fo Natural Reoourcos &h4 
Community Development . A processing fee « 
set- r e quir e d fop a request t» ohango permit oon 
dit i ons. A processing foe is required te a44 ad- 
ditional emission sources »p control equipment. 
Permit changes which are instituted by- the divi 
sfo» t» corroct processing e rrors, te chang e pef- 
»» conditions, ef te implement new standards 
shall net- requir e a processing foe? 

fo* Permit as4 permit renewal applications ape 
divided iftto foe following three categories with 
separate processing fee* fop eaeb category: 



NORTH CAROLINA REGISTER 



903 



PROPOSED RULES 



(44 Minor Source. A minor source is a» en- 
foe plant Bf facility foat- omits »f is ap- 
plying to emit- actual aif omissions less 
than 4ftQ tons pef oalondar yeaf pef pfo- 
lutant. hfo e moting sourc e s the actual aif 
e missions calculations shall be bas e d e» 
foe latest calendar yeaf fo souroo opora 
tion. 44te pollutants w particulates, sfo- 
fof dioxide, hydrocarbons, nitrogen 
dioxide, carbon monoxide, a«4 lead. 44%e 
permit application processing fee fof a 
new, existuig, ef modified minor oourco is 
fifty dollars (£50.00). 4he permit proo 
ossing fee fe>f renewal ef ownership trans 
fef efa minor source permit is twenty fivo 
dollars ($25.00). 

(3) Major Source. A major sourc e is aft entir e 
plant Bf facility that- e mits e* is applying 
to emit actual aif emissions fo 4ft0 tons 

u i ei i~t im i hi occxci roixr t^^^t ivr ui mm ^^^w 

pollutant. hfof existing sources foe actual 
e missions calculations shall be based e» 
foe latest calendar yeaf el oourco opora 
tion. 44*e pollutants afe particulates s«J- 
fof dioxido. hydrocarbons, nitrog e n 
dioxide, carbon monoxid e , ef l e ad. The 
permit application processing fee fof a 
new, existing, m- modified major source is 
efte hundred dollars ($100.00). 4he pef- 
Htft application processing fee fof r e n e wal 
ef ownership transfer fo a major source 
pennit is seventy five dollars ($75.00). 
(4+ Prevention fo Significant Deterioration 
Source. A Prevention ef Significant De- 
terioration (PSD) Source is a Hew major 
stationary ' sourc e of major modification 
foat is requir e d to obtain a» aif permit 
Hft4ef DbA* Regulation 44 NCAC 4© 
.0530 Prevention fo Significant Deteri 
oration, 44*e pennit application process 
fog fee fof a »ew- major stationary sourc e 
»f major modification subject to PSD is 
eme hundred dollars ($100.00). 4he pef- 
fftft processing fee fof renewal »f owner 
sk+p transfer fo a PSD permit is 
seventy live dollars ($75.00). 

Statuloiy Authority G.S. 143-215 J(a)( 1 ); 143- 
21 5. 1 OS; 143-215.109. 

.0605 ISSUANCE: REVOCATION: AND 
ENFORCEMENT OF PERMITS 

(b) Any permit or permit renewal issued under 
this Regulation may be revoked or modified if: 
(2) the conditions under which the permit or 
permit renewal was granted have changed, 



(3) violations of conditions contained in the 
permit have occurred, or 

(4) the permit holder fails to pay the annual 
administering and compliance monitoring 
fee required under Regulation .0609 of 
this Section within 30 days after being 
billed. 

Statutory Authority G.S. 143-215.3 (a) (I), 
(la), (lb); 143-215.108; 143-215.109; 
143-215.114. 

.0609 PERMIT FEES 

(a) For the purposes of this Regulation, the 
following definitions apply: 

(1) "Minor facility" means any plant site 
where the allowable emissions of each re- 
gulated pollutant under Subchapter 2D of 
this Title are each less than 100 tons per 
year, except a site that is only a complex 
source. 

(2) "Major facility" means any plant site 
where the allowable emissions of any one 
regulated pollutant under Subchapter 2D 
of this Title are 100 tons per year or more, 
except a site that is only a complex source. 

(3) "PSD facility" means a plant site having 
one or more sources subject to the pre- 
vention of significant deterioration re- 
quirements of Regulation 15 NCAC 2D 
.0530 or a plant site applying for a permit 
for a major stationary source or a major 
modification subject to Regulation 15 
NCAC 2D .0530. 

(4) "NSPS source" means a source subject to 
a new source performance standard in 
Regulation 15 NCAC 2D .0524. 

(5) "NESHAP source" means a source sub- 
ject to a national emission standard for 
hazardous air pollutants in Regulation 15 
NCAC 2D .0525. 

(6) "Complex source" means a source requir- 
ing a permit under Section 15 NCAC 2D 
.0800. 

(7) "Allowable emissions" means the actual 
emissions that are permitted to occur if 
the source were to operate constantly un- 
der maximum permitted conditions. 
Sources may request permit conditions 
that limit emissions to less than regulation 
allowables or that restrict operations. If 
neither a regulation nor a permit limiting 
emissions from a particular source speci- 
fies an emission rate, then the allowable 
emissions shall be the actual emissions 
that are expected to occur if the source 
were to operate constantly under maxi- 
mum conditions allowed by the permit. 



904 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



When a new source is added to an existing 

facility, the allowable emissions for the 

facility shall be the sum of the new and 

existing sources. 

(b) The following fees shall be charged for 

processing an application for an air permit and 

for administering and monitoring compliance 

with the terms of an air permit: 

Permit Application Processing Fee 



Category 


Standard 


Simple 
Renewal 


Minor facility 


$ 50 


$ 25 


Major facility 


100 


75 


PSD facility 


400 


100 


Facility with 






an NSPS source 


100 


75 


Facility with a 






NESHAP source 


100 


75 


Complex source 


100 






Annual Administering and Compliance 
Monitoring Fee 







Compliance 


Category 


Standard 


Reduction 


Minor facility 


$ 300 


$ 225 


Major facility 


1050 


775 


PSD facility 


1500 


1125 


Facility with 






an NSPS source 


1050 


775 


Facility with a 






NESHAP source 


1050 


775 


Complex source 


1050 


775 



If a facility or source belongs to more than one 
category, the fees shall be those of the applicable 
category with the highest fees. No fees are re- 
quired to be paid under this Regulation by a 
farmer who submits an application or receives a 
permit that pertains to his farming operations, 
(c) The standard permit application processing 
fee listed in Paragraph (b) of this Regulation is 
required for technical changes such as changing 
the location of a source; adding additional emis- 
sion sources, pollutants, or control equipment; 
or changing a permit condition such that a 
change in air pollutant emissions could result. 
A simple renewal permit application processing 
fee is required for permit renewals without tech- 
nical changes. A twenty five dollar ($25.00) 
permit application processing fee is required for 
administrative changes such as ownership trans- 
fers, construction date changes, test date changes, 



or reporting procedure changes. No permit ap- 
plication processing fee is required for changes to 
an unexpired permit initiated by the director to 
correct processing errors, to change permit con- 
ditions, or to implement new standards. 

(d) If a facility has been in full compliance with 
all applicable administrative, regulatory, and 
self-monitoring reporting requirements and per- 
mit conditions during the previous calendar year, 
the annual administering and compliance moni- 
toring fee shall be that which is in the "Compli- 
ance Reduction Annual Administering and 
Compliance Monitoring Fee" column. A facil- 
ity shall be considered to have been in compli- 
ance during the previous calendar year if it has 
not been sent any Notices of Non-compliance 
or Notices of Violation during that calendar year. 
If a Notice of Non-compliance or a Notice of 
Violation was based on erroneous information, 
the director may send a letter of correction to the 
permittee clearing the record for compliance 
purposes. 

(e) Payment of permit application processing 
fees and annual administering and compliance 
monitoring fees shall be by check or money order 
made payable to the N.C. Department of Natural 
Resources and Community Development. The 
payment should refer to the air permit applica- 
tion or permit number. 

(f) The payment of the permit application 
processing fee required by Paragraph (b) or (c) 
of this Regulation shall accompany the permit, 
permit renewal, or permit modification applica- 
tion and is non-refundable. If the permit appli- 
cation processing fee is not paid when the 
application is fded, the application shall be con- 
sidered incomplete until the fee is paid. 

(g) The initial annual administering and com- 
pliance monitoring fee shall be paid when a per- 
mit, modified permit, or renewed permit is issued 
for which a permit application processing fee 
specified in Paragraph (b) or (c) of this Regu- 
lation has been paid. For complex sources only 
an initial annual administering and compliance 
monitoring fee needs to be paid; no subsequent 
annual administering and compliance monitoring 
fee is necessary for complex sources. 

(h) If a permit or permit modification results 
in changing the category in which a facility be- 
longs, the next annual administering and com- 
pliance monitoring fee shall be paid for category 
in which the facility belongs after the permit or 
permit modification is issued. 

(i) A facility which has ceased all operations at 
a site will not be required to pay the next annual 
administering and compliance monitoring fee 
provided operations are not resumed during that 
annual period. Any resumed operations will ne- 



NORTH CAROLINA REGISTER 



905 



PROPOSED RULES 



cessitate the payment of the entire annual fee. 
A facility that is moved to a new site may receive 
credit for any unused portion of an annual ad- 
ministering and compliance monitoring fee if the 
permit for the old site is relinquished. Only one 
annual administrative and compliance monitor- 
ing fee needs to be paid annually for each permit. 

(j) A fee payer with multiple permits may ar- 
range to consolidate the payment of annual ad- 
ministrative and compliance monitoring fees into 
one annual payment. 

(k) If the permit holder fails to pay an annual 
administering and compliance monitoring fee 
within 30 days after being billed, the director may 
initiate action to revoke the permit. 

Statutory Authority G.S. 143-2/ 5.3(a) ( 1 ), (la), 
(lb). 

TITLE 21 - OCCUPATIONAL LICENSING 
BOARDS 

iV otice is hereby given in accordance with G.S. 
I SOB- 12 that the State Licensing Board for Gen- 
eral Contractors intends to repeal regulations 
cited as 21 NCAC 12 .0606, .0816; and adopt re- 
gulations cited as 21 NCAC 12 .0817 - .0830. 

1 he proposed effective date of this action is July 

1, 1988. 

1 he public hearing will be conducted at 1 1:00 
a.m. on April 13, 1988 at State Room, North Ca- 
rolina State University Faculty Club, 4200 Hills- 
borough Street, Raleigh, North Carolina. 

(^ omment Procedures: Persons wishing to pres- 
ent oral data, views or arguments on a proposed 
rule may file a notice with the Board at least 10 
days prior to the public hearing. Any person may 
also file a written submission containing data, 
comments or arguments at any time until 10 days 
after the hearing. Submissions should be mailed 
to the Board at: P.O. Box 17187, Raleigh, North 
Carolina 276/9. 

CHAPTER 12 - GENERAL CONTRACTORS 

SECTION .0600 - RULE-MAKING PROCEDURES 

.0606 RULE-MAKING (REPEALED) 

Statutory Authority G.S. I50B-1I; I50B-/4. 

SECTION .0800 - CONTESTED CASES 

.0816 ADMINISTRATIVE HEARING 
(REPEALED) 



Statutory Authority G.S. 150B-/1; 1 SOB- 14. 

.0817 RIGHT TO HEARING 

When the board acts or proposes to act, other 
than in rule-making or declaratory ruling pro- 
ceedings, in a manner which will affect the rights, 
duties, privileges or a license of a specific, iden- 
tifiable person, such person has the right to an 
administrative hearing. When the board pro- 
poses to act in such a manner, it shall give such 
person notice of their right to a hearing by mail- 
ing by certified mail to them at their last known 
address a notice of the proposed action and a 
notice of a right to a hearing. 

Statutory Authority G.S. 87-11 (b); 1S0B-11; 
150B-38. 

.0818 REQUEST FOR HEARING 

(a) Any time an individual believes their rights, 
duties, or privileges have been affected by the 
board's administrative action, but has not re- 
ceived notice of a right to an administrative 
hearing, that individual may file a formal request 
for a hearing. 

(b) Before an individual may file a request he 
must first exhaust all reasonable efforts to resolve 
the issue informally with the board. 

(c) Subsequent to such informal action, if still 
dissatisfied, the individual should submit a re- 
quest to the Board's office, with the request 
bearing the notation: REQUEST FOR AD- 
MINISTRATIVE HEARING. The request 
should contain the following information: 

( 1) Name and address of the Petitioner, 

(2) a concise statement of the action taken by 
the board which is challenged, 

(3) a concise statement of the way in which 
the Petitioner has been aggrieved, and 

(4) a clear and specific statement of request for 
a hearing. 

(d) The request will be acknowledged promptly 
and, if deemed appropriate by the board, a hear- 
ing will be scheduled. 

Statutory Authority G.S. 87-11 (b); 1S0B-11; 
J50B-38. 

.0819 GRANTING OR DENYING HEARING 
REQUEST 

(a) The board will decide whether to grant a 
request for a hearing. 

(b) The denial of request for a hearing will be 
issued immediately upon decision, and in no case 
later than 60 days after the submission of the re- 
quest. Such denial shall contain a statement of 
the reasons leading the board to deny the request. 



906 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



(c) Approval of a request for a hearing will be 
signified by the issuing of a notice as required by 
G.S. 150B-38(b) and explained in Rule .0302 of 
this Section. 

Statutory Authority G.S. 87-ll(b); 150B-1I; 
I50B-38. 

.0820 NOTICE OF HEARING 

(a) The board shall give the party or parties in 
a contested case a notice of hearing not less than 
15 days before the hearing. Said notice shall 
contain the following information, in addition to 
the items specified in G.S. 150B-38(b): 

(1) the name, position, address and telephone 
number of a person at the offices of the 
board to contact for further information 
or discussion; 

(2) the date, time, and place for a pre-hearing 
conference, if any; and 

(3) any other information deemed relevant to 
informing the parties as to the procedure 
of the hearing. 

(b) The board shall give notice to all parties 
with a notice of hearing either personally or by 
certified mail or, if those methods are unavail- 
able, in accordance with G.S. 1A-1, Rule 4(j)(l). 
In the event that notice is accomplished by cer- 
tified mail, the delivery date on the return receipt 
shall be the date of notice. 

(c) If the board determines that the public 
health, safety or welfare requires such action, it 
may issue an order summarily suspending a li- 
cense or permit. Upon service of the order, the 
licensee or permit holder to whom the order is 
directed shall immediately cease the practice of 
general contracting in North Carolina. The 
board shall promptly give notice of hearing pur- 
suant to G.S. 150B-38 following service of the 
order. The suspension shall remain in effect 
pending issuance by the board of a final agency 
decision pursuant to G.S. 150B-42. 

Statutory Authority G.S. 87-ll(b); IS0B-3(c); 
i 'SOB- 11; JSOB-38. 

.0821 WHO SHALL HEAR CONTESTED 
CASES 

All administrative hearings will be conducted 
by the board, a panel consisting of a majority of 
the members of the board, or an administrative 
law judge designated to hear the case pursuant to 
G.S. 150B-40(e). 



(a) Except as prohibited by statute, the board 
and the party or parties may agree in advance to 
simplify the hearing by: decreasing the number 
of issues to be contested at the hearing; accepting 
the validity of certain proposed evidence; accept- 
ing the findings in some other case with relevance 
to the case at hand; or agreeing to such other 
matters as may expedite the hearing. 

(b) Informal disposition may be made of any 
contested case or any issue therein by stipulation, 
agreement, or consent order at any time during 
the proceedings. 



Statutory Authority G.S. 87-Il(b); 
150B-38. 



I50B-I1; 



.0823 PETITION FOR INTERVENTION 

(a) A person desiring to intervene in a con- 
tested case must file a written petition with the 
board's office. The request should bear the no- 
tation: PETITION TO INTERVENE IN THE 
CASE OF (Name of case). 

(b) The petition must include the following 
information: 

(1) The name and address of petitioner; 

(2) the business or occupation of petitioner, 
where relevant; 

(3) a full identification of the hearing in which 
petitioner is seeking to intervene; 

(4) the statutory or non-statutory grounds for 
intervention; 

(5) any claim or defense in respect of which 
intervention is sought; and 

(6) a summary of the arguments of evidence 
petitioner seeks to present. 

(c) The board will mail copies of the petition 
to the parties to the case, with the costs at the 
rate of twenty-five cents ($0.25) per page charga- 
ble to the petitioner. 

(d) If the board determines to allow inter- 
vention, notice of that decision will be issued 
promptly to all parties, and to the petitioner. In 
cases of discretionary intervention, such notifica- 
tion will include a statement of any limitations 
of time, subject matter, evidence or whatever else 
is deemed necessary, which are imposed on the 
intervener. 

(e) If the board's decision is to deny inter- 
vention, the petitioner will be notified promptly. 
Such notice will be in writing, identifying the 
reasons for the denial, and will be issued to the 
petitioner and all parties. 



Statutory Authority G.S. 87-1 1(b), 
150B-38; 150B-40. 



150B-1I: 



Statutory Authority G.S. 
I50B-38. 



87-1 1(b); 150B-11; 



0822 INFORMAL PROCEDURES 



.0824 TYPES OF INTERVENTION 



NORTH CAROLINA REGISTER 



907 



PROPOSED RULES 



(a) Intervention of Right. A petition to inter- 
vene as of right, as provided in the North Caro- 
lina Rules of Civil Procedure, Rule 24, will be 
granted if the petitioner meets the criteria of that 
rule and the petition is timely. 

(b) Permissive Intervention. A petition to in- 
tervene permissibly as provided in the North 
Carolina Rules of Civil Procedure, Rule 24, will 
be granted if the petitioner meets the criteria of 
that rule and the board determines that: 

(1) There is sufficient legal or factual similarity 
between the petitioner's claimed rights, 
privileges, or duties and those of the par- 
ties to the hearing; and 

(2) Permitting intervention by the petitioner 
as a party would aid the purpose of the 
hearing. 

(c) The board may allow discretionary inter- 
vention, with whatever limits and restrictions are 
deemed appropriate. 

Statutory Authority G.S. 87-ll(b); 150B-1I; 
150B-38. 

.0825 DISQUALIFICATION OF BOARD 
MEMBERS 

(a) Self-disqualification. If for any reason a 
board member determines that personal bias or 
other factors render them unable to conduct the 
hearing and perform all duties in an impartial 
manner, that board member shall voluntarily de- 
cline to participate in the hearing or decision. 

(b) Petition for Disqualification. If for any 
reason any party in a contested case believes that 
a board member is personally biased or otherwise 
unable to conduct the hearing and perform all 
duties in an impartial manner, the party may hie 
a sworn, notarized affidavit with the board. The 
title of such affidavit should bear the notation: 
AFFIDAVIT OF DISQUALIFICATION OF 
BOARD MFMBER IN THE CASE OF (Name 
of case). 

(c) Contents of Affidavit. The affidavit must 
state all facts the party deems to be relevant to 
the disqualification of the board member. 

(d) Timeliness of Affidavit. An affidavit of 
disqualification will be considered timely if filed 
ten days before commencement of the hearing. 
Any other affidavit will be considered timely 
provided it is filed at the first opportunity after 
the party becomes aware of facts which give rise 
to a reasonable belief that a board member may 
be disqualified under this Rule. 

(e) Procedure for Determining Disqualification. 
(1) The board will appoint a board member 

to investigate the allegations of the affida- 
vit. 



(2) The investigator will report their findings 
and recommendations to the board. 

(3) The board shall decide whether to dis- 
qualify the challenged individual. 

(4) The person whose disqualification is to 
be determined will not participate in the 
decision but may be called upon to fur- 
nish information to the other members of 
the board. 

(5) A record of proceedings and the reasons 
for any decision reached will be main- 
tained as part of the contested case record. 

(6) When a board member is disqualified prior 
to the commencement of the hearing or 
after the hearing has begun, such hearing 
will continue with the remaining members 
sitting provided that the remaining mem- 
bers still constitute a majority of the 
board. 

(7) If three or more members of the board are 
disqualified pursuant to this Rule, the 
board shall petition the Office of Admin- 
istrative Hearings to appoint an adminis- 
trative law judge to hear the contested 
case pursuant to G.S. 150B-40(e). 

(8) Where a petition for disqualification is 
filed less than ten days before or during 
the course of a hearing, the hearing shall 
continue with the challenged board mem- 
ber sitting. Petitioner shall have the op- 
portunity to present evidence supporting 
his petition, and the petition and any evi- 
dence relative thereto presented at the 
hearing shall be made a part of the record. 
The board, before rendering its decision, 
shall decide whether the evidence justifies 
disqualification. In the event of disquali- 
fication, the disqualified member will not 
participate in further deliberation or deci- 
sion of the case. 

Statutory Authority G.S. 87-U(b); I50B-11; 
I50B-38; 150B-40. 

.0826 FAILURE TO APPEAR 

Should a party fail to appear at a scheduled 
hearing, the board, or the designated administra- 
tive law judge, may proceed with the hearing and 
make its decision in the absence of the party, 
provided that the party has been given proper 
notice. The board or the administrative law 
judge may order a continuance in order to give 
the party another opportunity to appear. 

Statutory Authority G.S. 87-ll(b); I50B-11; 
J50B-38; 150B-40. 

.0827 SUBPOENAS 



90S 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



(a) Requests for subpoenas for the attendance 
and testimony of witnesses or for the production 
of documents, either at a hearing or for the pur- 
poses of discovery, shall be made in writing to 
the board and shall identify any document sought 
with specificity, and shall include the full name 
and home or business address of all persons to 
be subpoenaed and, if known, the date, time, and 
place for responding to the subpoena. The board 
shall issue the requested subpoenas within three 
days of receipt of the request. 

(b) Subpoenas shall contain: the caption of the 
case; the name and address of the person sub- 
poenaed; the date, hour and location of the 
hearing in which the witness is commanded to 
appear; a particularized description of the books, 
papers, records or objects the witness is directed 
to bring with him to the hearing, if any, the 
identity of the party on whose application the 
subpoena was issued; the date of issue; the sig- 
nature of one of the members of the board or the 
board's secretary-treasurer; and a "return of ser- 
vice." The "return of service" form as filled out, 
shows the name and capacity of the person serv- 
ing the subpoena, the date on which the sub- 
poena was delivered to the person directed to 
make service, the date on which service was 
made, the person on whom service was made, the 
manner in which service was made, and the sig- 
nature of the person making service. 

(c) Subpoenas shall be served by the sheriff of 
the county in which the person subpoenaed re- 
sides, when the party requesting such subpoena 
prepays the sheriff's service fee. The subpoena 
shall be issued in duplicate, with a "return of 
service" form attached to each copy. A person 
serving the subpoena shall fill out the "return of 
service" form for each copy and properly return 
one copy of the subpoena, with the attached 
"return of service" form completed, to the board. 

(d) Except as otherwise stated in a particular 
subpoena, any person receiving a subpoena from 
the board may object thereto by filing a written 
objection to the subpoena with the board's of- 
fice. Such objection must be filed within five 
days of receipt of the subpoena or two days prior 
to the date on which the subpoena is returnable 
or testimony to be taken, whichever is soonest. 

(e) Such objection shall include a concise, but 
complete, statement of reasons why the sub- 
poena should be revoked or modified. These 
reasons may include lack of relevancy of the evi- 

ence sought, or any other reason sufficient in 
aw for holding the subpoena invalid, such as that 
he evidence is privileged, that appearance or 

reduction would be so disruptive as to be un- 
easonable in light of the significance of the evi- 

ence sought, or other undue hardship. 



(f) Any such objection to a subpoena must be 
served on the party who requested the subpoena 
simultaneously with the filing of the objection 
with the board. 

(g) The party who requested the subpoena, in 
such time as may be granted by the board, may 
file a written response to the objection. The 
written response shall be served by the requesting 
party on the objecting witness simultaneously 
with filing the response with the board. 

(h) After receipt of the objection and response 
thereto, if any, the board shall issue a notice to 
the party who requested the subpoena and the 
party challenging the subpoena, and may notify 
any other party or parties of an open hearing, to 
be scheduled as soon as practicable, at which 
time evidence and testimony may be presented, 
limited to the narrow questions raised by the 
objection and response. 

(i) Promptly after the close of such hearing, a 
majority of the board members with voting au- 
thority, or an administrative law judge assigned 
to the case pursuant to G.S. 150B-40(e), will rule 
on the challenge and issue a written decision. A 
copy of the decision will be issued to all parties 
and made a part of the record. 

Statutory Authority G.S. 87-1 1(b); 150B-11; 
I50B-38; I50B-39. 

.0828 WITNESSES 

Any party may be a witness and may present 
witnesses on the party's behalf at the hearing. 
All oral testimony at the hearing shall be under 
oath or affirmation and shall be recorded. At the 
request of a party or upon the board's own mo- 
tion, the presiding officer may exclude witnesses 
from the hearing room so that they cannot hear 
the testimony of other witnesses. 



Statutory Authority G.S. 87-1 1(b); 
1S0B-38; I50B-40. 



IS0B-I1; 



.0829 FINAL DECISION 

In all cases heard by the board, the board will 
issue its decision within 60 days after its next re- 
gularly scheduled meeting following the close of 
the hearing. This decision will be the prerequi- 
site "final agency decision" for the right to judi- 
cial review. 



Statutory Authority G.S. 87-1 1(b); 
150B-38; 1S0B-42. 



1 50 B- 11; 



.0830 PROPOSALS FOR DECISIONS 

(a) When an administrative law judge conducts 
a hearing pursuant to G.S. 150B-40(e), a "pro- 
posal for decision" shall be rendered within 45 



NORTH CAROLINA REGISTER 



909 



PROPOSED RULES 



days of the hearing pursuant to the Rules of the 
Office of Administrative Hearings, 26 NCAC 3 
.0026. Any party may file written exceptions to 
this "proposal for decision" and submit thcir 
own proposed findings of fact and conclusions 
of law. The exceptions and alternative proposals 
must be received within ten days after the party 
has received the "proposal for decision" as 
drafted by the administrative law judge. 

(b) Any exceptions to the procedure during the 
hearing, the handling of the hearing by the ad- 
ministrative law judge, rulings on evidence, or 
any other matter, must be written and refer spe- 
cifically to pages of the record or otherwise pre- 
cisely identify the occurrence to which exception 
is taken. The exceptions must be filed with the 
board within ten days of the receipt of the pro- 
posal for decision. The written exceptions 
should bear the notation: EXCEPTIONS TO 
THE PROCEEDINGS IN THE CASE OE 
(Name of case). 

(c) Any party may present oral argument to the 
board upon request. The request must be in- 
cluded with the written exceptions. 

(d) Upon receipt of request for further oral ar- 
gument, notice will be issued promptly to all 
parties designating time and place for such oral 
argument . 

(e) Giving due consideration to the proposal 
for decision and the exceptions and arguments 
of the parties, the board may adopt the proposal 
for decision or may modify it as the board deems 
necessary. The decision rendered will be a part 
of the record and a copy thereof given to all par- 
ties. The decision as adopted or modified be- 
comes the "final agency decision" for the right to 
judicial review. Said decision will be rendered 
by the board within 60 days of the next regularly 
scheduled meeting following the oral arguments, 
if any. If there are no oral arguments presented, 
the decision will be rendered within 60 days of 
the next regularly scheduled board meeting fol- 
lowing receipt of the written exceptions. 

Statutory Authority G.S. 87-ll(b); 1S0B-11; 
150B-3S: 150B-40. 

****************** 



7V oticc is hereby given in accordance with G.S. 
I SOB- 1 2 that the North Carolina Stale Board of 
Mortuary Science intends to amend regulations 
cited as 21 NCAC 34 .0109, .0/23, .0125(a); and 
repeal regulations cited as 21 NCAC 34 .0110 - 
.0116, .0119- .0120. 



1 he proposed effective date of this action is July 
I, 1988. 

1 he public hearing will be conducted at 2:00 
p.m. on April 12, 1988 at Office of Stale Board 
of Mortuary Science, 412 N. Wilmington St., Ra- 
leigh, NC 27601. 

C omment Procedures: Interested persons may 
present statements either orally or in writing al the 
public hearing or in writing prior to the hearing 
by mail addressed to Ms. Corrine J. Culbreth, 
Executive Secretary, State Board of Mortuary 
Science, 412 N. Wilmington St., Raleigh, NC 
27601. 

CHAPTER 34 - MORTUARY SCIENCE 

SECTION .0100 - GENERAL PROVISIONS 

.0109 ADMINISTRATIVE HEARING 
PROCEDURES 

\Vhon the board, by its official action, aets ef 
proposos to ae* i» a manner which will- affect the 
rights, duties, privileges »f the licens e ef- a spe- 

hav e a right to a» administrative hearing. When 
the hoard proposes to aet- m such manner, it- shall 

CTTTJ TTT U.I IT CTTT^TT I '\J1 \^Jl 1 V 1 1 I r \J I OT 7TXI9 1 1" J «- IV^-J V^I C 1 1UI 1 

right to a hearing by mailing by certified mail to 
such person at- his last- known addr e ss a notic e 
»f the proposed action a»4 a notice »f a right to 
a hearing. Such p e rson ef persons may assort 
bis &f their right to a hearing by mailing to the 
board by certified mail a request fef a hearing as 
provided m I < lulo .01 10(c) of this Section, oxcopt 
that- attempts at- informal r e solution a*e He* fe- 
quirod, a»4 a hearing wili be granted provided 
that- the envelop e containing the request boars a 
postmark dat e d prior to the 4ate ©» which the 
board propos e s to aefc- 

The rules establishing procedures for contested 
cases adopted by the Office of Administrative 
Hearings as contained in Title 26, Chapter 3 of 
the North Carolina Administrative Code are 
hereby adopted by reference, as provided for in 
G.S. 150B- 14(c), for contested cases for which 
this agency has authority to adopt rules under 
G.S. 150B-38(h). Provided, however, that if the 
case is conducted under G.S. 1 50 B -40(b), the 
presiding officer shall have the powers and duties 
given to the Chief Administrative Law Judge or 
the presiding Administrative I aw Judge in Title 
26, Chapter 3 of the North Carolina Adminis- 
trative Code and that 26 NCAC 3 .0001(2); 
.0002(a)(1); .0003(b); .0025; and .0026 shall not 
apply. Copies of Title 26, Chapter 3 of the 



910 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



North Carolina Administrative Code are on file 



in the board's office and may 
from. 



be obtained there- 



Slatutory Authority G.S. 90-210.23 (a); I50B-11 
(1); 1 SOB- 14 (a) (4); 150B-38 (h). 



.0110 



.0111 



.0112 

.0113 
.0114 

.0115 

.0116 
.0119 

.0120 



REQUEST FOR HEARING IN 

CONTESTED CASE (REPEALED) 

GRANTING OR DENYING HEARING 

REQUEST IN CONTESTED CASE 

(REPEALED) 

NOTICE OF HEARING IN CONTESTED 

CASE (REPEALED) 

WHO SHALL HEAR (REPEALED) 

PETITION FOR INTERVENTION IN 

CONTESTED CASE (REPEALED) 

TYPES OF INTERVENTION 

(REPEALED) 

SUBPOENAS (REPEALED) 

FINAL DECISION IN CONTESTED 

CASE (REPEALED) 

PROPOSAL FOR DECISION IN 

CONTESTED CASE (REPEALED) 



Statutory Authority 
150B-11; I50B-23; 
I50B-34; I50B-36. 



G.S. 90-210.23(a), (d); 
I50B-27; I50B-32 (a); 



0123 FEES 




Fees shall be as follows: 




Establishment permit 




Application 


$150.00 


Annual renewal 


$100.00 


Late renewal penalty 


$ 75.00 


Courtesy card 




Application 


$ 25.00 


Annual renewal 




Embalmer 


$ 15.00 


Funeral director 


$ 15.00 


Funeral service 


$ 30.00 


Out-of-state licensee 




Application 


$150.00 


Embalmer, funeral 




director, funeral 




service 




Application, North 




Carolina resident 


$100.00 


Application, 




non-resident 


$100.00 


Annual renewal 




Embalmer 


$ 25.00 


Funeral director 


$ 25.00 


Funeral service 


$ 50.00 


Reinstatement fee 




Embalmer 


$ 25.00 


Funeral director 


$ 25.00 


Funeral service 


$ 50.00 



Resident trainee permit 
Application $*£0© $ 50.00 

Annual renewal $ 10.00 

Late renewal penalty $ 5.00 
Duplicate license 

certificate $ 15.00 
Chapel registration 

Application $150.00 

Annual Renewal $ 75.00 



Statutory 
90-210.28. 



Authority G.S. 90-2 1 0.23 (a); 



.0125 WORTHLESS CHECKS 

(a) Any person, firm or corporation submitting 
to the board a check which is dishonored and 
returned shall be charged a processing fee ef tm 
dollars ($10.00) pe* chock in the maximum 
amount per check as permitted by the North 
Carolina law in effect at the time. 

Statutory Authority G.S. 25-3-512; 90-210.23 
(a); I50B-11 (I). 

TITLE 23 - DEPARTMENT OF 
COMMUNITY COLLEGES 



lyotice is hereby given in accordance with G.S. 
I SOB- 12 that the State Board of Community 
Colleges I Department of Community Colleges in- 
tends to adopt regulations cited as 23 NCAC 2C 
.0208; 23 NCAC 2D .0324 - .0327; 23 NCAC 2E 
.0305; and amend regulations cited as 23 NCAC 
2D .0204, .0323; 23 NCAC2E .0303. 

1 he proposed effective date of this action is July 
I, 1988. 

1 he public hearing will be conducted at 1:00 
p.m. on March 24, 1988 at First Floor State 
Board Conference Room, Caswell Building, 200 

W. Jones Street, Raleigh, North Carolina. 

(comment Procedures: A ten minute time limit 
per person may be imposed for oral presentations. 
The number of persons making oral presentations 
may be limited to stay within the time a\>ailable. 
Individuals who plan to make oral presentations 
must submit their remarks in writing to the Hear- 
ing Officer. This procedure will assist the Hearing 
Officer in organizing and reporting information to 
the SBCC. Written statements not to be pre- 
sented at the hearing should be addressed to Dr. 
William Cole. Hearing Officer, DCC, 200 W. 
Jones St., Caswell Bldg., Raleigh, NC 27603-1337 
by March 25, 198S. 



NORTH CAROLINA REGISTER 



911 



PROPOSED RULES 



CHAPTER 2 - COMMUNITY COLLEGES 

SUBCHAPTER 2C - INSTITUTIONS: 
ORGANIZATION AND OPERATIONS 

SECTION .0200 - PERSONNEL 

.0208 POLITICAL ACTIVITIES OF 
EMPLOYEES 

As an individual, each employee of the com- 
munity college system retains all rights and obli- 
gations of citizenship provided in the 
Constitution and laws of North Carolina and the 
Constitution and laws of the United States. 
Therefore, the State Board of Community Col- 
leges encourages employees of the system to ex- 
ercise their rights and obligations of citiz.cnship. 

(1) Each local board of trustees shall develop 
a policy on the political activities of its em- 
ployees, except for the president, that meets 
the following criteria and submit that policy 
to the Department of Community Colleges 
to determine if the policy meets these crite- 
ria: 

(a) Any employee who decides to run for a 
public office shall notify the board of 
trustees through the president of his in- 
tention to run and certify that he will not 
campaign or otherwise engage in political 
activities during his regular work hours or 
involve the college in his political activ- 
ities. 

(b) Any employee, who is elected to a part- 
time public office, shall certify through the 
president to the board of trustees that his 
office will not interfere with his carrying 
out the duties of his position with the in- 
stitution, or request leave. 

(c) Any employee, who is elected or ap- 
pointed to a full-time public office or the 
General Assembly, shall be required to 
take a leave of absence without pay upon 
assuming that office. The length of the 
leave of absence shall be determined by 
the local board of trustees. 

(d) Any employee who becomes a candidate 
for public office shall be prohibited from 
soliciting support during his regular work 
hours or on college property. 

(2) Political activities of institutional presidents: 
(a) Any institutional president, who decides 

to run for public office, shall notify the 
local board of trustees of his intention to 
run and certify that he will not campaign 
or otherwise engage in political activities 
during his regular work hours or involve 
the college in his political activities. 



(b) Any institutional president, who is elected 
to a part-time public office, shall certify to 
the local board of trustees that his office 
will not interfere with his carrying out the 
duties of his position with the institution, 
or request leave. 

(c) Any institutional president, who is elected 
or appointed to a full-time public office 
or the General Assembly, shall be re- 
quired to take a leave of absence without 
pay upon assuming that office. The 
length of the leave of absence shall be de- 
termined by the local board of trustees. 

(d) Any institutional president who is a can- 
didate for public office, is prohibited from 
soliciting support during his regular work 
hours or on college property. 

(3) Definitions as used in this Rule: 

(a) Public office means any national, state or 
local governmental position of public 
trust and responsibility, whether elective 
or appointive, which is created or pre- 
scribed or recognized by constitution, sta- 
tute, or ordinance. 

(b) Membership in the General Assembly is 
a full-time public office under this Rule. 

(4) Application of this Rule. The requirements 
of this Rule shall apply prospectively only. 
No change in the employment status of an 
employee who was an incumbent in public 
office on the effective date of this Rule shall 
be required under this Rule for the remain- 
der of that term of office; provided, however, 
this Rule shall not apply to any employee in 
the system who was a full-time public officer 
on the effective date of this Rule. 

Statutory Authority G.S. 115D-5; 1I5D-20. 

SUBCHAPTER 2D - INSTITUTIONS: FISCAL 
AFFAIRS 

SECTION .0200 - STANDARD STUDENT FEES 

.0204 OTHER FEES 

(a) Equipment Eees. A local equipment fee 
may be established not to exceed the fee charged 
high school students, in cases where high school 
buildings and equipment are being used; such 
fees shall be deposited in the institution's local 
account and paid to the local school unit. 

(b) Damage or Breakage Fees. Institutions 
shall charge no breakage fee, property-damage 
fee, or laboratory fee to students, but in case of 
breakage or damage due to gross negligence or 
maliciousness, a student shall be expected to re- 
munerate the institution. His credit may be 
withheld until proper payment is made. 



912 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



(c) Library Fines. All library fines, except 
book-replacement fines, shall become local funds 
and be used for improvement of the library. 

(d) General Educational Development (GED) 
Fee. All applicants who take the GED test at 
official GED Testing Centers in the system are 
required to pay a fee established by the State 
Board, a five dollar ($5.00) fee? As stated in 
Chapter 1300 of the 1979 Session l^ws (Second 
Session, 1980) "This fee shall not be required 
from individuals incarcerated or receiving treat- 
ment in institutions operated by the Department 
of Correction and the Department of Human 
Resources." 

Statutory Authority G.S. J/5D-5; 1I5D-54; S.L. 
1979, c. 1300. 

SECTION .0300 - BUDGETING: ACCOUNTING: 
FISCAL MANAGEMENT 

.0323 REPORTING OF STUDENT HOURS IN 

MEMBERSHIP FOR CURRICULUM (FOR 
CREDIT) CLASSES 

(a4 Definition ef Terms 
(4* Full tim e Fquivalont Stud e nt (FTE). A 
FTF is a measur e ef a unit ef instruction. 
Sixteen otudont membership hours pef 
week fof 44 weeks ef 476 student mom 
bership hours fof e ach quarter e nroll e d 
constitute a quarterly full time equivalent 
student m the system. Also, 704 student 
membership hours constitute an annual 

I T 1 ^^I^q niri/ l ■■^rv \ | /-> /~t l 1 r\ «-♦ sir inr «-> 11 ^r^^itt ^^^Jiro^^p 
l i»y 1 I l\J lAXJiXXl l_ 1 1 1 1 f 11 UU1 nn R7I CO I CTT'OIT IT fill DVO 

shall normally be net less than 44 school 
weeks ef $$ class days, whichever is 
groator, from the fost day ef olasoos 
through the final examination; but alter 
Hate lengths fof quarters and/or courses 

q^^^^^ ^^^k * ' ' ■ * * ' ' * L i i •> 1 1 ^^t ■ t- , i . I ii K j^ 1 1 g^o f^^^i 

assigned consist e nt with Rule 34 NCAC 
36^0404 
(4) Student Momborship. A stud e nt is con 
sidorod te be m class membership when 
ho/sho moots all the following criteria: 

( ' \ \ CkmitJi^^i ■ | ft , X J ■ l . I . l i \ . ■ . i . I t-tl c «-t ■-■ l i m ;■»»< J*^ T tl^^ 

^i I / nil vJ If 1>TJ UU U F I U \J 1 IT.TTJ *-" T I 'UT RIDI I < I." I " I it.' 

applicable tuition and foes; ef obtained a 

''■■''II 1 ' I ^ r '11 1 lll^ t lllt'll f « r\ U fi <-.. nt-^ nh I r\ \ ri t ^Jit\^ 

.0302 ef this Subchapter ef Subparagraph 
(a) (4) ef R-eh> 4)304 ef this Subchapter; 

£44) attended eee ef more classes prior te 
ef ee tl%e 30 percent point in- the class; 

(€4 eet withdrawn ef transf e rr e d prior te 
ef ee the 30 percent point m t4*e class. 
(4) Student Membership Hour. A stud e nt 
membership hour is em> hour ef schod 
ek»4 class, shop, ef laboratory fof which 
the student is e nrolled, m certain classes 



actual time ef class attendance is te ee 
roportod. These olasoos ftfe listod m Sub 
paragraph (fe4 (4) ef this Rule. A» insti 
tution shall provide a minimum ef 4W 
minutes ef instruction fof eaeh schodulod 

^^^^^^ J^^^^^^> Aji if\ftiln4i/\ri Oiim 11,)* raw./><4 

fin ltd i ivfui 7 ^^nrr mm mi to 11 ■ & t\*j i iui r^w^TTTT 

more hours pef student than tha numbor 
ef class hours scheduled m the institution 
catalog er oth e r official institutional dee- 
umont. m addition, fof non curriculum 
classes, institutions may net report moro 
hours pef otudont e xcluding non tradi 
tional dolivory classos than the number ef 

(e4 Skills Laboratory/Computer Tutorial t^a- 
boratory. Individualizod instructional la- 
boratorios afe similar te 
l e arning laboratories, except tha partic 
ipants afe curriculum studonts. A skills 
laboratory instructor must be qualified m 
the single subjoot area ef the slulls labo 
ratory. A computer tutorial laboratory 
coordinator nood net ee qualifiod m any 
ef the subject ar e a(s) provid e d m a com 
putor tutorial laboratory. Stud e nt mom 
borship hours may- be roportod fof 
budget/ FTE when students afe required 
by thoir instructor te attend cither ef tl*e 
laboratories fof additional work am4 when 
the slulls laboratory instructors ef com 
puter tutorial coordinators afe paid with 
curriculum instructional funds. 

(64 Multi Entry/Multi Exit Class. A self- 
paced class m which the stud e nts afe pef- 
mitt e d te onroll at any time during the 

^^^^^^•^L^^^^ t^^^^^uj^^^^^ ^l^*~^^^^^^j^ ^1^^^ ^^^^^*^^^^^L^^^j^^^X 
U UU.I IUI , pi^CivOB CI II WEIX T^T^ 11 IUI IUVI l\71 IUI 

materials at thoir own pace, and ea» 
comploto the course as soon as they hav e 
successfully met the educational objec 
tivos. Students may onroll at different 
tim e s, at different levels, ef ovon » diff e r 
em courses m the same instructional set- 

Hftgr 

(7) Loarning Laboratory, learning labomtor)f 
programs consist ef self instruction using 
programmed texts, audio visual equip 
mont, ami oth e r oolf instructional mat e ri 

uiu • J i ivui 1 1 1 1 1 s mvui uiui t uuui uinuiur rmrr 

the function ef bringing the instructional 
media a«4 the student together e» t4*e 
basis ef objective aed subjective ovalu 
ation and- ef counseling, supervising, ami 
oncouraging porsons worlring m tfie labo 
rator>'. 
(b4 Ctdculation ef Student Membership Hours 
(44 AH olasoos oxcopt these identified m Sub 

^..,. .._„„!,.- /u\ /t\ ~„,l iu\ ru ,,!' i Kj . LLulq 

L^JJ U. CI U I_T 1 1 tT IUI V / W™ \ *-^7 V 7 1 1 1 1 LI I V enc . 

Ffof a44 classes except those listed in Sub 



NORTH CAROLINA REGISTER 



913 



PROPOSED RULES 



paragraphs fb) f2) ttft4 (b) (44 »4this Rulo 
student membership hours a*e obtained 
by multiplying the numbor e4 students m 
membership at- the 20 percent point i» the 

tytctfl^ By HW lO Lu.i I lul Itt^tyr trr rrrTTrro rrtt? 

class is scheduled to meet fef the quarter 
as stated to the catalog e* other official 
institutional documents. 
(3} Glasses Identified as Non traditional t)e- 
hvory. to Non traditional delivery classes, 
those i» which instruction is delivered 
through radio, newspaper, television, eef- 
rospondonoo, e* other media, student 
contact, attendanc e i» class e* orientation 
session, s ubmission e4 a writton assign 
ment e* submission of a» examination, is 
the basis fof the determination ©4 class 
membership at A* 50 percont point i» 
class. Student membership hours earned 
m non traditional delivery classes witt be 
calculated by multiplying the numbor e4 
stud e nts m membership, as determined i» 
the prior sentence, times the numbor el 
hours assigned to the class m official to- 
stitutional document s? fn»f non tradi 
tional delivery curriculum classes, the 
number e4 hours assigned must be con 
distent with the credit hours assign e d ae- 
cording to Rule .010 I e4 Subchapter 2E 
ef this Chapter. F4f non traditional de- 
livery extension courses, the number ef 
hours assigned would be determined as 
follows: 
(-A4 Determine number ef hours b4 instruo 
tto» delivered via non traditional delivery; 

(44} i\dd the number b+ hours ef class 
m ee tings, review sessions, eto 
(4) Classes Identified as Learning Laborato 
fie&r Skills 1 aboratorios, an4 

Multi Fntry/Multi 1'Jxit Classes. h4f 
these types e4 classes actual tbne ef class 
attendance is te- be reported; 60 minutos 
shall constitute a» hour. Student mem 

l-i. xi -, Imi hill l r C- T/if < K ^ l- . t tiii^^t ' " I * I mCflt ■ . »- ■ J 

the &««• e4 ah the hours e4 actual stud e nt 
attendance i» a class to a given quart e r. 
fe+ Maintaining Records e4~ Student Memb e r 
shift Hours. Class rost e rs shall be maintain e d toF 

.. . i , • 1 1 '*h\.f t ■-• 1 1 ■ tIi t L* , 1 1 - 1 . >j- .~ ■!«-.-» < j-v V\ .-\ .- « mn . i . i l-i 1 1 f li _i 

L'UL'l I CTOTTC* TTrm^TrCT 1 V IT II LU1 U U.1 U TTT L7JJ 1HL1 IvU (_' I EZIv 

instructor fn* the registrar) aftd maintained at the 
institution tof a period ef three years. Student 
m e mb e rship hours shall be summarized to the 
Institution's Class Report a«4 certified by the 
president &f his designee. 

(-b> hof ah class e s except as noted m Subpar 

a graphs (e) (2) a«4 to} (24 ef thts Rule. 

Accurate att e ndance records must be 



maintained toF each class through the 20 

IJUH-^^^rT I'UIJ II i^T I mj VI\J.\J\J. 11U11LUI ITTTTW CM t? 

encouraged to maintain attondanco re- 
cords fop the duration ©4 ah claoooo. 

(24 Classes Identified as Non traditional E)e- 
livory. Not e Subparagraph (b4 (24 ef this 
Rul e which denot e s roeordG to be main 
toined to document student membership. 

(rty Classes Identifi e d as Learning Laborato 
F»es7 Skills Laboratories, and 

Multi Entry/Multi Lxit Classes. Accu 
Fate attendance records must be main 

1 1 niii'i \ tnr I'-irti cLmm * 1^>-^, i i-tn^i it ' ^ . - ■ ... * • •- ■ 

quarter. 

\y o r | c 

CTTTTTTT TTT 111U 

^^^c^lll^^i | «■■» li r/-iT-L 
\JI11 WiJVTJ rIT "rTTTTTC 



Activities. The 
reporting guidelines for- 
activity curriculum and e xt e nsion courses, exclu 
si¥e e( in plant regulations as specified i» Rulo 
.0 - 102 e£ Subchapter 2& ef- this Chaptor. Exam 
pies ef- work activities includ e work experi e nc e 
(cooperative e ducation, practicums, and- intern 
ships) afi4 clinical practic e . 

ft) Work e xperience fop classes m curriculum 
programs a«4 extension courses wih earn 
budgot/FTE at 440 percont Fate ef as- 
signed work activity hours aed- shall Ftet 
oxcoed a maximum ef 230 membership 
hours pef student pef quarter. Ihoso 
classes must be specifi e d » the approved 
curriculum ©£ the institution aftd must be 
coordinated by institutional personnel 
pai4 with institutional instructional funds. 

srtftfi 

(2> Clinical practico fof classes ift curriculum 
programs a»d extension courses w+U earft 
budget/ F'TE at 400 percen t Fate ef as- 
signod work activity hours a«4 shall F*et 
oxcoed 230 membership hours pef student 
pef quarter unl e ss North Carolina licen 
s«fe e* program ac - creditation standards 
requir e additional hours, to such oasos, 
work activity hours w+h earn budgot/FTE 
at the 400 p er ce nt Fate i» accordanc e with 
liconsuro e* program accreditation stand 
ards «f» to a maximum e4~ 440 mombor 

SRXS ROVSFS 5 99V W liiltf I i l r*T?'r U liLiilor. I IH?CJO 

classes must be specifi e d to the approved 
curriculum ef the institution a»4 must be 
supervised by institutional instructors 
q ualified to teach i» the particular pfe- 
gram asd who afe paid with institutional 
instructional funds. The classos F»ay be 

100U16U ftr t^Ht? fc^F EnOfB hlltHj. 

(24 Stud e nt membership hours fe* student 
work activities shall Ftet generat e 
budgot/FTE without prior approval &f 



914 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



h l |j -|l tiotitiitinf ^^ti 1 I ' 1 1 fl i in ' i ft in Qpj ' i f Ll£lu hi 
U lit 1 1 ul l ■ I IROO DJ tTIU u l i ■ u i iiIIL'IIL tTTT rTTTTTTa 

provid e d fef this purpose. Approval ef 
student work activities approved prior te 
November +7 19K3 by- the department 

iuliui i_7u reinn 'fiin i^ju i\tt it^xi^i m tjtuf wi 1 ith? 

formt) provided fef this purpooo. Whon 
the number ef approved ctudent work ae- 
tivity membership hours incroaooo by 
more than 3b percent eef course, a new 
approval form must be submitted. 

(4) Formal ef informal apprenticeship eR- 
the job training activiti e s ef a cooperative 
slab training program funded under a 
special project allocation wiil Ret eaf» 
budget/ FTE. Classroom instruction 

funded with regular budget instructional 
dollars fef related ef supplemental i«- 
struction as required by formal ef ie- 
formal apprenticeship programs w+b ea rn 
(e) Limitation b* Reporting Student Member 
ship Hours. 

(44 Student hours may Ret- be reported which 
result from: 
(A4 visits, conferences, meetings, seminars, 
aee programs ef a community oorvico ea- 

(44)- enrollment ef high school students ift 
excess ef those allowed bv Paragraph (44 
ef R-tbe rW-U+4- ef Subchapter 34- ef this 
Chapt e r; 

(G4 enrollment ef non high school gradu 
ates below the age ef 4-& except as pro 
vided fef m Rule .0301 ef Subchapter 2G 
ef this Chapter; 

(444 unsupervised classes; 

(64 credit obtained through proficiency ef 
challenge exams except that the actual 

♦ « r-m ;^ f/in UJ «-.-u-l ♦ ■-» * 'il^;i tlifi Q tf '^ *-*~t «-»% ri i i li^ 

iliii<j i ^M » " fu vt_7 tunc 1 1 10 L.' ALII I J 1 1 IUJT t^o 

counted ie membership; students must be 
r e gistered b> the class consistent with 
Subparagraph (a4 (4) ef this R.ul e b> order 
te report student membership hours fef 
budget il'Tli; 

(b4 homework assignments; 

(4*4 inter institutional ef intramural sports 
activities '. ncluding those ef prison m- 
matos). 

I ' \ V. t-j 1 1 f- ' 1 I n T~W t r** ' " ' * '*!■■■ ' - * ■ " j y I ' , ■ ■*••<■ t tl^fi^^ ^j^^J^^l 
\ *"7 utii .'u 1/1 'i/i uiib LIUJ .TL J CtwTTT I I 1 1 1 L.HJ miXQ l-TJ 

e ntirely from JTPA afe Ret te be reported 
fef regular budget purposes (those classes 
supported by student fee* ef a class m 
which instruction is provided gratis); ab 
r e creational extension class e s fab ie this 
category. 
(44 New aft4 expanding industry, human fe- 
sourcos development, ae4 cooperative 
skills training programs afe separate 
budget allotments aRe? therefore, ee Ret 



eaf» budgot/FTFj. Regular budget oxten 
wee funds excluding adult high school 
Htay be used m human rosouroos devel 
opment programs wh e n the special alio 
cations fef those purposes afe obligated 
aee? ie this ovont, wib eaf» budg e t/ P TIT . 
(44 Sixty/Forty Funding. A44 student 
membership; hours generated by the institution 
whor e bb percent ef the instructional salaries, by 
program afea dofinod below, are paie from stat e 
funds wib be eountod fef budgeting purposes. 
44»e t e rm "program area" is d e fined asr 

/ I i thii w\i ir r'i lrnpi ill mi n tts 't fl ^mjlago ttoa ■ L\«- 

111 1 1 1\7 1UUI uuii tvui cmi u.i wrcr I wr ij DEO rTTHTDTVrT 

general education, technical, a»4 voca 
tional); aee 
(3) the regular budgot extension areas (occu 
pationol oxtonsion, adult high school e*- 
tension, academic extension, praotical 
slabs oxtonsion, aee avocational exten 
sion). Solf supporting classes ee Ret eafR 
budgot/FTE evon though the program 

WI \JU I^T WTTJv'I I I 1 l\J W t-ll \J WcV^CnV ITT ^H^C^^^V T^^T 

60/10 funding. Program ar e as i» which 
less than 6b percent ef the instructional 
sal arios a*e pais from stat e funds wbJ- be 
prorat e d te the sam e proportion as the 
state funding. 
fg} Reporting Student Membership Hours te 
the department. 

(4} Curriculum ane extension institution class 
reports summarising stud e nt membership 
hours w4b be submitted te the department 
during e ach studont mombership hour fe- 
porting poriod defined i» this Paragraph. 
$Ai ^^he few stud e nt memb e rship hour fe- 
porting periods af© as follows: 
(+} Period 4- - Jun e 4- through August 

(if) Poriod 2 - September 4- through 

Novombor 4% 
(bi) Poriod i - Dec e mb e r 4- through Pe- 

bruary 2% f3% 
Hv+ Poriod 4 - March 4- through May 34r 
(ft) Institution Class Reports fef ab regular 
budgot curriculum ae4 oxtonsion classes 
will be submitted 34 oalendar days aftef 
the conclusion ef e ach studont reporting 
poriod dofined m l^aft (A) ef this Subpar 
a graph. 1 heroforo, ab reports received by 
Soptomhor 34 w4b he dosignatod Period 4-? 
ab reports rocoivod by Docomber 34 wbf 
be dosignatod Poriod 3? ab reports rocoivod 
by March 34 w+b be dosignatod P e riod 4; 
aed ab r e ports rocoivod by Jun e 34 w4b 
be designated Period 4? 
f3) bef Learning Laboratorios, slabs labora 
tones aee multi e ntry/multi e xit classes 
where actual student tbee m class is ee- 



NORTH CAROLINA REGISTER 



915 



PROPOSED RULES 



lermincd, student membership houro w+tt 

sp e ctive student membership hour report 
t»g period, as specified m Pth4 fA-} ef tkis 
Subparagraph (g) H->t '44*e student m e m 
bcrship hours calculat e d » those classes 
w*U be submitted e» institution class fe- 
ports to the department t» accordanc e 
w+t4+ fert (444 t+J- Subparagraph fg} (-!-t- 
Also, note Paragraph fb4 trf this Rule re- 
garding calculation a( student member 
sh+f> hours. 
(44 Institution class reports fof non regular 
budget ext e nsion classes such a* ftew a«4 
expanding industry, HPiD, JTPA, setf- 
supporting, a«4 r e cr e ational w+tt ake be 
submitted to the department m accord 
anc e with Parts (A) a«4 f434 ef Subpara 
^aphfgif4-^ 
(a) Academic Quarter. The academic quarter 
for all credit courses shall normally be not less 
than 1 1 school weeks or 55 class days, whichever 
is greater. The academic quarter should be de- 
signed so that all classes may be scheduled to in- 
clude the number of instructional hours shown 
in the college catalog and reported for FIE pur- 
poses. Instructional hours include scheduled 
class and laboratory' sessions as well as examina- 



tion sessions. Alternate lengths for quarters or 
courses may be used as long as credit hours are 
assigned consistent with 23 NCAC 2F Rule 
.0104 and as long as membership hours are re- 
ported consistent with Subparagraphs (b) (3) and 
(c) (31 of this Rule, 
(b) Regularly-Scheduled Classes: 

( 1) A class is regularly scheduled if it meets 
all of the following criteria: 

(A) assigned definite beginning and ending 
time; 

(B) specific days the class meets is prede- 
termined; 

(C) schedule included on the Institution 
Master Schedule (to be arranged, desig- 
nation not appropriate); 

(D) class hours assigned consistent with 
institutional catalog and curriculum stan- 
dard requirements: 

(F) identified class time and dates the same 
for all students registered for the class; 

(F) a student is considered absent if he did 
not attend during the specified times or 
da\s the class was scheduled to meet. 

(2) A student is considered to be in class 
membership when the student meets all 
the following criteria: 

(A) enrolled as evidenced by payment of the 
applicable tuition and fees, or obtained a 



waiver as defined in Paragraph (a) of Rule 
.0202 of this Subchapter; 

(B) attended one or more classes pnor to 
or on the 20 percent point in the class; 

(C) continues to be enrolle d in class at the 



ill 



20 percent point. 
Student Membership Hour. 



A student 
membership hour is one hour of sched- 
uled class, shop or laboratory for which 
the student is enrolled. An institution 
shall provide a minimum of 50 minutes 
of instruction for each scheduled class 
hour. An institution may not report more 
hours per student than the number of 
class hours scheduled in the institution 
catalog or other official institutional doc- 
uments. 

(4) Calculation of Student Membership Hours 
for Regularly Scheduled Classes. Student 
membership hours are obtained by multi- 
plying the number of students in mem- 
bership at the 20 percent point in the class 
by the total number of hours the class is 
scheduled to meet for the quarter as stated 
in the catalog or other official institutional 
documents. 

(5) Maintenance of Records of Student 
Membership Hours. Accurate attendance 
records must be maintained for each class 
through the 20 percent point of the class. 
Institutions are encouraged to maintain 
attendance records for the duration of all 
classes. Attendance records are to be 
signed by the instructor or lead instructor, 
verifying their accuracy, and are to be 
maintained by the institution until re- 
leased from all audits (see the Public Re- 



cords Retention and Disposition Schedule 
for Institutions in the Community College 
System). Student membership hours shall 
be summarized in the Institution's Class 
Report and certified by the president or 
his designee. For classes identified as 
non-traditional delivery, which utilize 
broadcast media, documentation of stu- 
dent contact prior to the 20 percent point 
must be maintained in the same manner 
as the attendance records mentioned in 
this Rule. 
(c) Non- Regularly Scheduled Classes: 
( 1) A non-regularlv scheduled class is as fol- 
lows: 

(A) a class where a definitive beginning and 
ending time is not determined; 

(B) a class usually offered in a learning la- 
boratory type setting (see Subparagraph 
[bj [6[ of Rule .0324 of this Subchapter 
for definition of learning laboratory); 



916 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



(C) a class self-paced in that the student 
progresses through the instructional ma- 

' terials at his own pace, and can complete 
the courses as soon as he has successfully 
met the educational objectives. Students 
may enroll at different levels or even in 
different courses in the same instructional 
setting; 

(D) a class which a student may enroll 
during the initial institutional registration 
period or may be permitted to enroll at 
any time during the quarter; 

(E) any class not meeting all criteria for a 
regularly scheduled class as shown in 
Subparagraph (b) (1) of this Rule, is con- 
sidered to be a non-regularly scheduled 
class for reporting purposes. 

(2) Definition of Student Membership. A 
student is considered to be in class mem- 
bership when the student meets the fol- 
lowing criteria: 

(A) enrolled as evidenced by payment of the 
applicable tuition and fees, or obtained a 
waiver as defined in Paragraph (a) of Rule 
.0202 of this Subchapter or Subparagraph 
(a) (3) of Rule .0203 of this Subchapter; 

(B) attended one or more classes. 

(3) A student membership hour is one hour 
of scheduled class, shop, or laboratory for 
which the student is enrolled. Sixty min- 



utes shall constitute and hour. 



[fi 



Calculation of Student Membership Hours 
for Non- Regularly Scheduled C lasses. 
For these classes, actual time of class at- 



reported; 60 minutes 
hour. Student 



mem- 



(51 



tendance is to be 
shall constitute an 
bcrship hours for these classes are the sum 
of aU the hours of actual student attend- 
ance in a class in a given quarter. 

Maintenance of Records of Student 
Membership Hours. Accurate attendance 
records must be maintained for each class 
of the nature described in this Rule 
through the entire quarter. Attendance 
records are to be signed by_ the instructor 
or lead instructor, verifying their accuracy, 
and are to be maintained by the institu- 
tion until released from all audits (see the 
Public Records Retention 



tion Schedule for 



and Disposi- 
Institutions in the 
Student 



Community College System) 
membership hours shall be summarized in 
the Institution's Class Report and certified 
by the president or his designee. 
(d) Skills Laboratory or Computer Tutorial 
Laboratory'. Individualized instructional labora- 



chapter) except the participants are curriculum 
students. A skills laboratory instructor must be 
qualified in the single-subject area of the skills 
laboratory. A computer tutorial laboratory co- 
ordinator need not be qualified in any of the 
subject area(s) provided in a computer tutorial 
laboratory. Student membership hours may be 
reported for budget FTE when students are re- 
quired by their instructor to attend either of the 
laboratories for additional work and when the 
skills laboratory instructors or computer tutorial 
coordinators are paid with curriculum instruc- 
tional funds. 

(1) Documentation of instructor referral 
should be maintained for auditing pur- 
poses. Maintain documentation until re- 
leased by audit. 

(2) Calculation of Student Membership Hours 
for Skills laboratory or Computer Tuto- 
rial Laboratory. For these classes, actual 
time of class attendance is to be reported; 
60 minutes shall constitute an hour. Stu- 
dent membership hours for these types of 
classes are the sum of aU the hours of ac- 
tual student attendance in a class in a 
given quarter. 

(e) Classes Identified as Curriculum Non- 
Traditional Delivery. Non-traditional delivery 
classes are classes which are not regularly sched- 
uled and classified as follows: 

( 1) Curriculum Non-Traditional Classes Uti- 
lizing Broadcast Media Based Delivery. 
Those classes in which instruction is de- 
livered through radio, t elevisi on, or oilier 
broadcast media, student contact such as 
attendance in class or in an orientation 
session, submission of a written assign- 
ment or submission of an examination, is 
the basis for the determination of class 
membership at the 20 percent point of the 
class. Student membership hours earned 
in non-traditional delivery classes shall be 
calculated by multiplying the number of 
students in membership, as determined in 
the prior sentence, times the number of 
hours assigned to the class in official in- 
stitutional documents. For these classes, 



ill 



the number of hours assigned must be 
consistent with the credit hours assigned 
according to 23 NCAC 2E Rule .0104. 
Curriculum Non-Traditional Classes Not 
Utilizing Broadcast Media Based Deliv- 
ery. Those classes utilizing individualized 
instructional techniques which are not 
broadcast media based may include cor- 



tones are similar to learning laboratories (see 
Subparagraph fb) (6] of Rule .0324 of this Sub- 



respondence classes, independent study 
classes, classes through the newspaper, 



NORTH CAROLINA REGISTER 



917 



PROPOSED RULES 



and other similar individualized instruc- 
tional classes. 



(A) Student memhership in this category 
of non-traditional classes shall be deter- 
mined as noted in Subsection (A) of Sub- 
paragraph (b) (2) of this Rule and 
attendance in one or more classes. 

(B) Calculation of Student Membership 
Hours. For these types of classes, actual 
time of class attendance is to be reported; 
60 minutes shall constitute an hour. Stu- 
dent membership hours for these types of 
classes are the sum of all the hours of ac- 
tual student attendance in a class for a 
given quarter. 

(f) Curriculum Student Work Experience and 
Clinical Practice. The following criteria apply to 
the reporting guidelines for students enrolled in 
curriculum work experience and clinical practice 
courses, exclusive of in-plant training as specified 
in 23 NCAC 2E Rule .0402. Examples of stu- 
dent work experience include cooperative educa- 
tion, practicums, and internships. Clinical 
practice refers to work experience in health oc- 
cupation programs: 

( 1 ) Student membership hours for student 
work experience and clinical practice shall 
not generate budget FTE without prior 
approval by the department of such ac- 
tivities through the appropriate curric- 
ulum standard. 

(2) Work Experience. Work experience for 
curriculum courses shall earn budget FTE 
at the 100 percent rate of assigned work 
experience hours and shall not exceed a 
maximum of 220 membership hours per 
student per quarter: 

(A) These classes must be coordinated by 
institutional personnel paid with institu- 
tional instructional funds and may be 1<> 
cated in one or more sites. 



(B) These classes must be specified in the 
approved curriculum of the institution 
consistent with the applicable curriculum 
standard. 

(C) Formal or informal apprenticeship on- 
the-job training activities of a cooperative 
skill training program funded under a 
special project allocation shall not earn 
budget FTE. Classroom instruction 
funded with regular budget instructional 
dollars for related or supplemental in- 
struction as required by formal or in- 
formal apprenticeship programs shall earn 
budget 1 IF. 

(3) Clinical Practice. Curriculum clinical 
practice, as defined m 23 NCAC 2E Rule 



.0104, refers to clinical experience in 
health occupation programs which shall 
earn budget r FE at the 100 percent rate 
for student membership hours. The ap- 
plicable classes must be consistent with 
the curriculum standards policy as noted 
in Paragraph (a} of 23 NCAC 2E Rule 
.0203. The maximum membership hours 
in a clinical experience which can be re- 
ported per student in a given quarter is 
440. These classes must be supervised by 
institutional instructors qualified to teach 
in the particular program and who are 
paid with institutional instructional funds. 
Fhese classes may be located in one or 
more sites. 



Statutory Authority 
I15D-58.5. 



G.S. I15D-5; II5D-31; 



Present .0324 will become .0328. 

.0324 REPORTING OF STUDENT HOURS 
IN MEMBERSHIP FOR EXTENSION 
(NON-CREDIT) CLASSES 

(a) Regularly Scheduled Classes: 

(1) Definition of Regularly Scheduled Class. 
A class is considered to be regularly sche- 
duled if it meets all of the following crite- 
ria: 

(A) assigned definite beginning and ending 
time; 

(B) specific predetermined days and time 
the class meets; 

(C) schedule included on the Institution 
Master Schedule (to be arranged, desig- 
nation not appropriate); 

(D) class hours assigned consistent with 
institutional catalog and curriculum stan- 
dard requirements; 

(E) identified class time and dates the same 
for all students registered for the class; 

(F) a student considered absent if he did not 
attend during the specified times or days 
the class was scheduled to meet. 

(2) Definition of Student Membership. A 
student is considered to be in class mem- 
bership when the student meets all the 
following criteria: 

(A) enrolled as evidenced by payment of the 
applicable tuition and fees, or obtained a 
waiver as defined in Paragraph (a) of Rule 
.0203 of this Subchapter; 

(B) attended at least 50 percent of the 
classes held prior to or on the 50 percent 
point in the class; 

(C) continues to be enrolled in class at the 
50 percent point. 



91S 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



(3) Student Membership Hour. A student 
membership hour is one hour of sched- 
uled class, shop or laboratory for which 
the student is enrolled. An institution 
shall provide a minimum of 50 minutes 
of instruction for each scheduled class 
hour. An institution may not report more 
hours per student than the number of 
class hours scheduled in the institution 
catalog or other official institutional doc- 
uments. Institutions may not report more 
hours per student, excluding non-tradi- 
tional classes, than the number of hours 
specified in the instructor's contract. 

(4) Calculation of Student Membership Hours 
for Regularly Scheduled Classes. Student 
membership hours are obtained by multi- 
plying the number of students in mem- 
bership at the 50 percent point in the class 
by the total number of hours the class is 
scheduled to meet for the quarter as stated 
in the catalog or other official institutional 
documents. 

(5) Maintenance of Records of Student 
Membership Hours. Accurate attendance 
records must be maintained for each class 
throughout the entire class or quarter. 
Attendance records are to be signed by the 
instructor or lead instructor, verifying 
their accuracy, and are to be maintained 
by the institution until released from all 
audits as provided in the Public Records 
Retention and Disposition Schedule for 
Institutions in the Community College 
System. Student membership hours shall 
be summarized in the Institution's Class 
Report and certified by the president or 
his designee. For classes identified as 
non-traditional delivery, which utilize 
broadcast media, documentation of stu- 
dent contact prior to the 50 percent point 
must be maintained in the same manner 
as the attendance records mentioned in 
this Rule. 

(b) Non- Regularly Scheduled Classes: 
(1) Definition of Non- Regularly Scheduled 
Classes is as follows: 

(A) a class where a definitive beginning and 
ending time is not determined; 

(B) a class usually offered in a learning la- 
boratory type setting (see Subparagraph 
(b)(6) of this Rule for definition of learn- 
ing laboratory); 

(C) a class self-paced in that the student 
progresses through the instructional ma- 
terials at his own pace, and can complete 
the courses as soon as he has successfully 
met the educational objectives. Students 



may enroll at different levels or even in 
different courses in the same instructional 
setting; 

(D) a class that a student may enroll during 
the initial institutional registration period 
or may be permitted to enroll at any time 
during the quarter; 

(E) any class not meeting all criteria for a 
regularly scheduled class as shown in 
Subparagraph (b)(1) of Rule .0323 of this 
Subchapter, is considered to be a non-re- 
gularly scheduled class for reporting pur- 
poses. 

(2) Definition of Student Membership. A 
student is considered to be in class mem- 
bership when the student meets the fol- 
lowing criteria: 

(A) enrolled as evidenced by payment of the 
applicable tuition and fees, or obtained a 
waiver as defined in Paragraph (a) of Rule 
.0203 of this Subchapter; 

(B) attended one or more classes. 

(3) Definition of Student Membership Hour. 
A student membership hour is one hour 
of scheduled class, shop, or laboratory for 
which the student is enrolled. Sixty min- 
utes shall constitute an hour. 

(4) Calculation of Student Membership Hours 
for Non-Regularly Scheduled Classes. 
For these classes, actual time of class at- 
tendance is to be reported; 60 minutes 
shall constitute an hour. Student mem- 
bership hours for these classes are the sum 
of all the hours of actual student attend- 
ance in a class in a given quarter. 

(5) Maintenance of Records of Student 
Membership Hours. Accurate attendance 
records must be maintained for each class 
throughout the entire class or quarter. 
Attendance records shall be signed by the 
instructor or lead instructor, verifying 
their accuracy, and are to be maintained 
by the institution until released from all 
audits as provided in the Public Records 
Retention and Disposition Schedule for 
Institutions in the Community College 
System. Student membership hours shall 
be summarized in the Institution's Class 
Report and certified by the president or 
his designee. For classes identified as 
non-traditional delivery, which utilize 
broadcast media, documentation of stu- 
dent contact prior to the 50 percent point 
must be maintained in the same manner 
as the attendance records mentioned in 
this Rule. 

(6) Learning Laboratory. Learning laboratory 
programs consist of self-instruction using 



NORTH CAROLINA REGISTER 



919 



PROPOSED RULES 



programmed text, audio- visual equip- 
ment, and other self-instructional materi- 
als. A learning laboratory coordinator has 
the function of bringing the instructional 
media and the student together on the 
basis of objective and subjective evalu- 
ation and of counseling, supervising, and 
encouraging persons working in the labo- 
ratory. Membership hours are to be cal- 
culated as noted in Subparagraph (b)(4) 
of this Rule. 

(c) Non-Traditional Delivery Classes. Non- 
traditional delivery classes are classes which are 
not regularly scheduled and are identified in two 
categories noted below: 

(1) Extension Classes Utilizing Broadcast 
Media Based Delivery. In those classes 
in which instruction is delivered through 
radio, television, or other broadcast me- 
dia, student contact such as attendance in 
class or in an orientation session, sub- 
mission of a written assignment or sub- 
mission of an examination, is the basis for 
the determination of class membership at 
the 50 percent point of the class. Student 
membership hours in such classes shall be 
calculated by multiplying the number of 
students in membership at the 50 percent 
point of the class times the number of in- 
structional hours delivered which is deter- 
mined as follows: 

(A) determine the number of hours of in- 
struction delivered via non-traditional de- 
livery; and, 

(B) add the number of hours of class 
meetings, review sessions, etc. 

(2) Extension Classes Not Utilizing Broadcast 
Media Based Delivery. In those classes 
in which instruction is delivered utilizing 
individualized techniques which are not 
media based including correspondence 
classes, independent study classes, classes 
through the newspaper, and other similar 
techniques, actual contact with the in- 
structor, as described in Subparagraph 
(b)(4) of this Rule, shall be the basis for 
reporting student membership hours. 

(d) Extension Student Work Experience and 
Clinical Practice. The following criteria apply to 
the reporting guidelines for students enrolled in 
extension work experience and clinical practice 
courses, exclusive of in-plant training as specified 
in 23 NCAC 2E Rule .0402. Examples of stu- 
dent work experience include cooperative educa- 
tion, practicums, and internships: 

( 1 ) Student membership hours for student 
work experience and clinical practice shall 
not generate budget ETE without prior 



approval of such activities by the depart- 
ment on forms provided for this purpose. 
Approval of student work experience and 
clinical practice approved prior to No- 
vember 1, 1983 by the department must 
be resubmitted for reapproval on the 
forms provided for this purpose. When 
the number of approved student work ex- 
perience membership hours increases by 
more than 20 percent per course, a new 
approval form must be submitted. 

(2) Work Experience. Work experience for 
extension courses shall earn budget FTE 
at the 100 percent rate for student mem- 
bership hours, as determined in Subpara- 
graph (a)(3) of this Rule, and shall not 
exceed a maximum of 220 membership 
hours per student per quarter: 

(A) These classes must be coordinated by 
institutional personnel paid with institu- 
tional instructional funds and may be lo- 
cated in one or more sites. 

(B) Formal or informal apprenticeship on- 
the-job training activities of a cooperative 
skill training program funded under a 
special project allocation shall not earn 
budget FTE. Classroom instruction 
funded with regular budget instructional 
dollars for related or supplemental in- 
struction as required by formal or in- 
formal apprenticeship programs shall earn 
budget FTE. 

(3) Clinical Practice. Clinical practice refers 
to clinical experience in health occupation 
courses which shall earn budget FTE at 
the 100 percent rate for student member- 
ship hours, as determined in Paragraph (c) 
of this Rule, and shall not exceed a maxi- 
mum of 220 membership hours per stu- 
dent per quarter unless North Carolina 
licensure or program accreditation stand- 
ards require additional hours. In such 
cases, work activity hours shall earn 
budget FTE at the 100 percent rate in ac- 
cordance with licensure or program ac- 
creditation standards up to a maximum 
of 440 membership hours per student per 
quarter. These classes must be supervised 
by institutional instructors qualified to 
teach in the particular program and who 
are paid with institutional instructional 
funds. These classes may be located in 
one or more sites. 

Statutory Authority G.S. 115D-5; I15D-3I; 
11SD-58.5. 

.0325 LIMITATION IN REPORTING 



920 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



STUDENT MEMBERSHIP HOURS 

(a) Student hours may not be reported which 
result from: 

(1) Conference or visits. General types of 
meetings usually of one or more day's 
duration, attended by a fairly large num- 
ber of people. A conference or visit may 
have a central theme, but is loosely struc- 
tured to cover a wide range of topics. The 
emphasis is on prepared presentations by 
authoritative speakers, although division 
into small group sessions for discussion 
purposes is often a related activity. 

(2) Seminar or Meeting. A small group of 
people meeting primarily for discussion 
under the direction of a leader or resource 
person or persons. Seminars and meet- 
ings are generally one-time offerings even 
though they may continue for more than 
one day. 

(3) Programs of a community service nature. 

(4) Enrollment of high school students con- 
sistent with 23 NCAC 2C .0301. 

(5) Enrollment of non-high school graduates 
below the age of 18 except as provided for 
in 23 NCAC 2C .0305. 

(6) Unsupervised classes. 

(7) Credit obtained through proficiency or 
challenge exams except that the actual 
time required to take the exam may be 
counted in membership; students must be 
registered in the class consistent with Par- 
agraph (a) of Rules .0202 and .0203 of this 
Subchapter. 

(8) Homework assignments. 

(9) Inter-institutional or intramural sports ac- 
tivities including those of prison inmates. 

(b) Self-supporting classes are not to be re- 
ported for regular budget purposes (those classes 
supported by student fees or a class in which in- 
struction is provided gratis); all recreational ex- 
tension classes fall in this category. 

(c) Student class hours for class-size projects in 
which instructional salaries are funded by Title 
II of the Job Training Partnership Act (JTPA) 
shall not receive full FTE funding. Those JTPA 
class-size projects that are totally JTPA Title II 
funded shall receive administrative cost re- 
imbursement. The sixty-forty rule does not ap- 
ply to JTPA class size projects. 

(d) New and Expanding Industry, human re- 
source development, cooperative skills training, 
small business, apprenticeship and high priority 
programs are separate budget allotments and, 
therefore, do not earn budget FTE. Regular 
budget extension funds excluding adult high 
school may be used in human resources devel- 
opment programs when the special allocations 



for these purposes are obligated and, in this 
event, shall earn budget FTE. 

Statutory Authority G.S. USDS; II5D-3I; 
II5D-58.5. 

.0326 SIXTY-FORTY FUNDING 

All student membership hours generated by the 
institution where 60 percent of the instructional 
salaries, by program area defined in this Rule, are 
paid from state funds, shall be counted for 
budgeting purposes. The term "program area" 
is denned as: 

( 1 ) the four curriculum areas (college transfer, 
general education, technical, and voca- 
tional); 

(2) the regular budget extension areas (occu- 
pational extension, adult high school exten- 
sion, academic extension, practical skills 
extension, and a vocational extension); 

(3) self-supporting classes do not earn budget 
FTE even though the program area in which 
they are taught is eligible for sixy-forty 
funding. Program areas in which less than 
60 percent of the instructional salaries are 
paid from state funds shall be prorated in the 
same proportion as the state funding; 

(4) all funds (both state and non-state) which 
are used for instructional salaries, must be 
budgeted and expended through the insti- 
tution's budget; 

(5) all contracts for instruction (including 
part-time instructors or third party) must 
reflect total cost of instruction; 

(6) instructional salaries paid totally by other 
agencies or companies cannot be considered 
as part of the sixty-forty funding, but rather 
as gratis instruction (note Paragraph (b) of 
Rule .0325 of this Subchapter concerning 
gratis instruction). 



Statutory Authority G.S. 115D-5; 
115D-58.5. 



II5D-3I; 



.0327 REPORTING STUDENT MEMBERSHIP 
HOURS TO THE DEPARTMENT 

(a) Curriculum and extension institution class 
reports summarizing student membership hours 
shall be submitted to the department during each 
student membership hour reporting period de- 
fined in this Paragraph: 

(1) The four student membership hour re- 
porting periods are as follows: 

(A) Period 1 - June I through August 31; 

(B) Period 2 - September 1 through No- 
vember 30; 

(C) Period 3 - December 1 through Febru- 
ary 28 (29); 



NORTH CAROLINA REGISTER 



921 



PROPOSED RULES 



(D) Period 4 - March 1 through May 31. 
(2) Institution class reports for all regular 
budget curriculum and extension classes 
shall be submitted 21 calendar days after 
the conclusion of each student reporting 
period defined in Subparagraph (a)(1) of 
this Rule. Note the following schedule 
concerning application of the designated 
periods: 

(A) all reports received by September 21 
shall be designated Period 1; 

(B) all reports received by December 21 
shall be designated Period 2; 

(C) all reports received by March 21 shall 
be designated Period 3; and, 

(D) all reports received by June 21 shall be 
designated Period 4. 

(b) For learning laboratories, skills laboratories, 
and multi-entry, multi-exit classes where actual 
student time in class is determined, student 
membership hours shall be calculated on the last 
day of each respective student membership hour 
reporting period, as specified in Subparagraph 
(a)(1) of this Rule. The student membership 
hours calculated in these classes shall be submit- 
ted on institution class reports to the department 
in accordance with Subparagraph (a)(2) of this 
Rule. Also, note Paragraphs (a) and (b) of Rule 
.0323 of this Subchapter and Paragraph (a) of 
Rule .0324 of this Subchapter regarding calcu- 
lation of student membership hours. 

(c) Institution class reports for non-regular 
budget extension classes such as new and ex- 
panding industry, HRD, JTPA, self-supporting, 
and recreational shall also be submitted to the 
department in accordance with Subparagraphs 
(a)(1) and (a)(2) of this Rule. 

Statutory Authority G.S. USDS; 1I5D-31; 
I/5D-5S.5. 

SUBCHAPTER 2E - EDUCATIONAL 
PROGRAMS 

SECTION .0300 - GENERAL ADL'LT: SPECIAL 
EXTENSION: AND COMMUNITY SERVICE 

.0303 GENERAL EDUCATIONAL 

DEVELOPMENT (GED) TESTING 
PROGRAM 

(a) The department, under the state board is 
responsible for the administration of the geaegaJ 
education dovolopmont testing General Educa- 
tional Development Testing program in cooper- 
ation with the office on Educational Credit of the 
American Council on Education. 

(b) The State Board and the Community Col- 
lege System shall encourage persons to complete 



high school rather than seek testing for the High 
School Diploma Equivalency. 

(c) Title of State Credential: High School Di- 
ploma Equivalency. 

(d) Minimum Requirements for Testing: 

(1) Any person 16, or 17 years of age meeting 
one of the following conditions may be 
admitted to testing: 

(A) Incarcerated in a correctional institu- 
tion, correctional youth center, training 
school for adjudicated youth, or similar 
institution; 

(B) A patient or resident of a state-operated 
hospital c-r alcoholic rehabilitation center; 

(C) Enrolled in or have completed a pro- 
gram of instruction provided by the Job 
Corps or other such agency, or an ap- 
prenticeship training program; or 

(D) A member of the United States Armed 
Forces. 

(2) Any person 16 or 17 years of age having 
officially dropped out of school and not 
subject to the conditions in this Rule may 
be admitted to testing provided: 

(A) Application is supported by a notarized 
petition of the individual's parent, legal 
guardian, or other person or agency hav- 
ing legal custody and control over the ap- 
plicant; the petition shall certify the 
applicant's residence, date of birth, date 
applicant officially withdrew from school 
and the petitioner's legal relationship to 
the applicant; and 

(B) Application for testing is made no less 
than six months from the date the appli- 
cant officially withdrew from school. 
However, all or any part of the six-month 
waiting period may be waived by the chief 
administrative school officer of the public 
or private school unit in which the appli- 
cant resides. This waiver may be accom- 
plished through the endorsement of the 
notarized petition by the superintendent 
or his designee; or 

(C) Applicant is an emancipated minor. 

(3) All persons shall have officially dropped 
out of school prior to applying to take the 
GED tests. 

(4) These requirements shall apply to both 
public and private school students. 

(e) Requirements for Issuance of High School 
Diploma Equivalency: 

(1) Minimum Test Scores. A standard score 
of 35 on each of the five tests and a total 
of 225 on all five tests. 

(2) Minimum age: 16. 

(3) Residence. Legal residents of North Ca- 
rolina or armed forces personnel stationed 



922 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



within the geographic confines of this 
State (and members of their immediate 
families living in their households) are eli- 
gible to take the GED tests. 

(f) Requirements for Retesting. Part or all of 
the GED test battery may be taken again after a 
period of at least six months from the date the 
tests were first taken. The procedure in applying 
for a retest is the same as required for the original 
test. In some instances a retest may be author- 
ized in less than six months by the chief examiner 
of an official GED testing center or by the State 
GED Administrator, upon presentation of satis- 
factory evidence of intensive study to the chief 
examiner or other written justification satisfac- 
tory to the stata president President of the Com- 
munity College System or his designee. 

(g) Security: 

(1) The security of the tests, the integrity of 
the testing program and the validity of test 
scores attained shall be protected; and the 
».tat t> proiiidont President of the Commu- 
nity College System or his designee may 
resolve any doubtful case by requiring the 
applicant to retest; 

(2) A person who begins testing at an official 
GED testing center shall complete testing 
at that center. If the person needs to 
continue testing at another center, the 
person shall have approval from the office 
of the State GED Administrator; other- 
wise, such testing shall be invalid. The 
same rule shall apply to retesting when a 
person completes the GED test battery 
and fails to achieve a passing score. 

(h) Method of Applying. Civilian applications 
must be on a special form obtainable from the 
office of the State GED Administrator, the De- 
partment of Community Colleges, offices of local 
superintendents of schools, and institutions of 
the Community College System. Application 
Applications must be endorsed and approved by 
a president of an institution of the Community 
College System or his designee, or by the man- 
ager of a Veterans Administration hospital hav- 
ing an authorized educational therapy program. 
Applications from military personnel must be on 
the appropriate Department of Community Col- 
leges form endorsed by the military education 
officer. 

(i) Official Transcripts. Test scores arc ac- 
cepted as official only when reported directly by: 

(1) Official GED centers, 

(2) Transcript Service of the Defense Activity 
for Non-Traditional Education Support 
(DANTES), 



(3) Veterans Administration hospitals and 
centers, and 

(4) the GED Testing Service, 
(j) Fee: 

(1) A five dollar ($5.00) fee is required from 
each student (applicant) who takes the 
General Education Educational Develop- 
ment GED Test at official GED Testing 
Centers in the community college system. 
The fees collect e d fof th*s purpooo shall 
ruvurt to toe gonoral fund. Two dollars 
and fifty cents ($2.50) of the GED fee 
shall be used to pay the cost for scoring 
the written essay part of the test; this 
portion of the fee shall be deposited as 
state funds. The remaining portion of the 
GE D fee shall revert to the General Fund. 

(2) Issuance of High School Diploma Equiv- 
alency; no charge. 

(k) The state board shall, upon the recom- 
mendation of the State GED Administrator, de- 
termine the establishment or disestablishment of 
GED testing centers. 

(1) GED testing centers shall inform the State 
GFD Administrator of any new, alternate, or re- 
placement chief examiners and proctors before 
such persons assume their duties. 

(m) Record Keeping. Official GED testing 
centers shall supply the State GED Administra- 
tor's office with information necessary to main- 
tain permanent records on all examinees. 

Statutory Authority G.S. 1I5D-1; 115D-5; S.L. 

1987, c. 738, s. 219. 

.0305 CONTINUING EDUCATION CUASS 
SITES 

The Community College System was created 
for the purpose of, and is committed to delivering 
appropriate educational services to adult citizens. 
Efforts shall be made to ensure that facilities 
where classes are held provide appropriate envi- 
ronments which are conducive to learning. 
Continuing education classes offered in private 
homes or private home-based businesses shall be 
approved by the institutional president or his 
designee prior to the classes being offered. Doc- 
umentation of such approval shall be maintained 
at the institution until released from all audits 
(see Public Records Retention and Disposition 
Schedule for Institutions in the Community 
College System). 

Statutory Authority G.S. II5D-I; 115D-5. 



I 



NORTH CAROLINA REGISTER 



923 



FINAL RULES 



L) pon request from the adopting agency, the 
text of rules will be published in this section. 

W hen the text of any adopted rule is iden- 
tical to the text of that as proposed, adoption 
of the title will be noted in the "List of Rules 
Affected" and the text of the adopted rule 
will not be republished. 



/i dopted rules filed by the Departments of 
Correction. Revenue and Transportation are 
published in this section. These departments 
are not subject to the provisions of G.S. I SOB, 
Article 2 requiring publication of proposed 
tides. 



TITLE 5 - DEPARTMENT OE 
CORRECTION 

CHAPTER 2 - DIVISION OF PRISONS 

SUBCHAPTER 2D - PUBLIC 
COMMUNICATIONS 

SECTION .0300 - INMATE USE OF THE MAMS 

.0304 PACKAGES AND OTHER HEMS 

(9) Toothbrushes, safety razors and blades. 

History Xote: Filed as a Temporary 
Amendment Eff. February 1 , 1988, 
for a Period of 30 Days to Expire 
on March I. 1988; 
Statutory Authority G.S. 148-11; 
Eff. February I, 1976; 
Amended Eff March 1, 1988; 
October IS. 1976. 

SUBCHAPTER 2G - COURT RELATED 
PROCEEDINGS 

SECTION .0300 - INMATE GRIEVANCE 
PROCEDURE 

.0301 GENERAL 
.0302 GRIEVANCES 
.0303 PROCEDURE 

History Sole: Filed as a Temporary 
Repeal Elf . January 16. 1988 
For a Period of 1 20 Days 
to Expire on May 13, 1988; 
Statutory Authority G.S. 
148-101 through 148-113; 
Eff. February I. 1976. 



TITLE 10 - DEPARTMENT OE HUMAN 
RESOURCES 

CHAPTER 45 NORTH CAROLINA DRUG 
COMMISSION 

SUBCHAPTER 45H - DRLG TREATMENT 
FACILITIES 

.0202 SCHEDLLE I 

(d) Hallucinogenic Substances. Unless specif- 
ically excepted or unless listed in another sched- 
ule, any material, compound, mixture or 
preparation which contains any quantity of the 
following hallucinogenic substances, or which 
contains any of its salts, isomers and salts of 
isomers, whenever the existence of such salts, 
isomers and salts of isomers is possible within the 
specific chemical designation (for purposes of this 
Paragraph only, the term "isomer" includes the 
optical, position and geometric isomers): 

(2) 3,4-methylenedioxy-N-ethylamphet- 

amine (also known as N-ethyl-alpha- me- 
thvl-3,4(methvlenedioxy)phenethyla- 
mine, N-ethyl MDA, MDE, and MDEA) 

7404 
(18) N-hydroxy-3,4-methylenedioxyamphet- 
amine (also known as N-hydroxy-alpha- 
methyl-3,4-(methylenedioxy)phenethyla- 
mine, and N-hydroxy MDA) 

7402 
(25) 4-methylaminorex (also known as 2-am- 
ino-4-meth\i-5-phenyl-2- oxazoline) 

1590 

History Xote: Statutory Authority G.S. 
90-88; 90-89; 143B-147; 
Eff June 30, 1978; 
Amended Eff. March 1, 1988; 
December I, 1987; August 1, 1987; 
December 1, 1986. 

TITLE 17 - DEPARTMENT OF REVENUE 

CHAPTER 7 - SALES AND USE TAX 



SUBCHAPTER 7B 



STATE SALES AND USE 
TAX 



SECTION .0100 - GENERAL PROVISIONS 

.0106 RESALE CERTIFICATES: SALES 
FOR RESALE 

(a) A purchaser of tangible personal property 
who is properly registered with the Sales and Use 
Tax Division of the North Carolina Department 
of Revenue or in a taxing jurisdiction outside this 
State and is engaged in the business of selling 
tangible personal property at retail or wholesale 
and makes purchases of tangible personal prop- 
erty for the purpose of resale shall furnish to his 



924 



NORTH CAROLINA REGISTER 



FINAL RULES 



vendors as their authority for not collecting the 
tax, either: 

(1) a Resident and Nonresident Retail or 
Wholesale Merchant's Certificate of Re- 
sale, Form F-590, or 

(2) other evidence in writing adequate to 
support the conclusion that he is regis- 
tered with the Department of Revenue or 
in a taxing jurisdiction outside this State 
for sales and use tax purposes and that the 
property is being purchased for the pur- 
pose of resale. 

Such certificates or other written evidence shall 
be completed in duplicate and a copy retained 
by both the vendor and the vendee in their files. 
In the absence of such certificates or other ade- 
quate written evidence, vendors selling taxable 
tangible personal property to wholesale and retail 
merchants shall be deemed to be making retail 
sales and will be liable for collecting and paying 
the tax thereon at the applicable rate. 

(b) Certificates of resale shall not be used to 
purchase tangible personal property which is to 
be used or consumed by the purchaser. The 
secretary may revoke the license of any Licensed 
merchant who makes such use of the certificate 
of resale. Vendors should charge the applicable 
rate of tax on sales to registered merchants when 
the property sold is for use by the purchaser and 
not for resale. Vendors selling taxable tangible 
personal property for resale should make reason- 
able and prudent inquiry regarding the principal 
nature of the business of the purchaser as it re- 
lates to the type of tangible personal property 
which is being purchased. A person making 
purchases of tangible personal property for resale 
shall not be required to furnish more than one 
certificate or additional written evidence to a 
vendor in connection with his purchases so long 
I as the tangible personal property purchased is of 
the type generally and ordinarily sold by the type 
of business operated by the purchaser and pro- 
vided there is no change in the character of the 
purchaser's business which is known to the ven- 
Idor or which should be known to him in the ex- 
lercise of ordinary and reasonable care. Whenever 
la person makes purchases of tangible personal 
lproperty for resale and the property is not gen- 
erally and ordinarily the type of property the 
|purchaser will resell, the vendor thereof should 
Require certificates of resale or other written evi- 
dence in connection with individual purchases 
Supporting that the property is being purchased 
for resale, 
(d) The foregoing provisions with regard to 
certificates of resale are applicable to sales to 
Jionresidcnt retail or wholesale merchants. The 
|erm "nonresident retail or wholesale merchant" 
leans "a person who does not have a place of 



business in this State, is engaged in the business 
of acquiring by purchase, consignment or other- 
wise, tangible personal property and selling the 
property outside this State, and is registered for 
sales and use tax purposes in a taxing jurisdiction 
outside this State." Reference is made to 17 
NCAC 7B .2301 for the treatment of sales to 
such persons. 

History Note: Statutory Authority G.S. 
105-164.28; 105-262; 
Eff. February I, 1976; 
Amended Eff. February I, 1988; May 11, 1979. 

SECTION .1000 - BARBERS: BEAUTY SHOP 

OPERATORS: SHOE REPAIRMEN: WATCH 

REPAIRMEN 

.1003 WATCH: CLOCK AND JEW EERY 
REPAIRMEN 

(c) Sales of watches, clocks, watch bands, 
watch chains, trophies, jewelry and other taxable 
tangible personal property are subject to the 
three percent State and applicable local sales or 
use tax on the full retail sales price. Any charges 
for labor or services rendered in engraving tangi- 
ble personal property selected by a vendee and 
left with the vendor to be engraved are exempt 
from tax when such charges are segregated from 
the charge for the tangible personal property sold 
on the invoice given to the customer at the time 
of the sale and in the vendor's records; otherwise, 
the total amount is subject to tax. 

History Note: Statutory Authority G.S. 
105-164.4; 105-164.6; 105-262; 
Eff. February I, 1976; 
Amended Eff. February 1 , 1988. 

SECTION .1 100 - SALES OF BULK TOBACCO 
BARNS: FARM MACHINES AND MACHINERY 

.1101 IN GENERAL 

(a) Sales to farmers of machines and machin- 
ery, and parts therefor or accessories thereto for 
use by them in planting, cultivating, harvesting 
or curing of farm crops including nursery stock, 
or to dairy operators, poultry farmers, egg pro- 
ducers, and livestock farmers for use by them in 
the production of dairy products, poultry pro- 
ducts, eggs, or livestock are subject to the one 
percent rate of tax with a maximum tax of eighty 
dollars ($80.00) per article of merchandise. Sales 
of machines and machinery, and the parts there- 
for or accessories thereto, to farmers for any 
purpose or use not defined in this Rule, or to any 
person other than a farmer as herein defined, 
even though for a use or purpose herein defined, 
are subject to the three percent rate of tax with- 
out limitation. In other words, to qualify for the 



NORTH CAROLINA REGISTER 



925 



FINAL RULES 



one percent rate of tax and the eighty dollar 
($80.00) maximum tax per article, the transaction 
must be a sale of a machine or machinery, or 
parts therefor or accessories thereto, to a farmer 
for one of the uses or purposes herein defined 
and unless all three conditions are met, the sale 
is subject to the three percent rate of tax without 
limit. The following sales of tangible personal 
property to farmers qualify for the one percent 
rate of tax with an eighty dollar ($80.00) maxi- 
mum tax per article of merchandise: 

(1) Effective July 1, 1971, sales to farmers of 
bulk tobacco barns, racks and all parts 
and accessories thereto and similar appa- 
ratus used for the curing and drying of any 
farm product are subject to the one per- 
cent rate of tax with a maximum tax of 
eighty dollars ($80.00) per article of mer- 
chandise. The sale to farmers of a bulk 
curing barn with perforated tloors, curers, 
racks, fans, motors, dampers and flues will 
constitute the sale of one article and an 
eighty dollar ($80.00) maximum tax will 
be applicable thereto. 

(2) Effective July 1, 1979, sales to farmers of 
grain, feed, or soybean storage facilities 
and accessories thereto, whether or not 
dryers are attached, and all similar appa- 
ratus and accessories thereto for the stor- 
age of grain, feed or soybeans. 

(3) Effective July 1, 1979, sales to fanners of 
commercially manufactured portable 
swine equipment or facilities and accesso- 
ries thereto; and sales to farmers for in- 
stalling on the farm of all bulk feed 
handling equipment which has been de- 
signed and constructed to be used for 
raising, feeding, and the production of li- 
vestock and poultry products and all cages 
used in the production of livestock and 
poultry products are subject to the one 
percent rate of tax with a maximum tax 
of eighty dollars ($80.00) per article of 
merchandise. Effective July 1, 1982, the 
sale of the total number of poultry cages 
to be served by the same automatic feeder, 
automatic waterer or automatic egg col- 
lector constitutes the sale of a single article 
that is separate and distinct from a feeder, 
waterer or egg collector. The statute was 
expanded, effective July 1, 1983, to in- 
clude sales to farmers of commercially 
manufactured swine, livestock or poultry 
equipment or facilities and accessories 
thereto. Effective September 1, 1987, this 
Subparagraph is rescinded as a result of a 
statutorv amendment to G.S. 
105-1 64. 13(4c). See 17 NCAC 7B .1123 



for information in regard to the exemption 
from sales and use taxes for sales of arti- 
cles described in this Subparagraph. 
(4) Effective July 1, 1982, sales of containers 
to farmers and producers for use in the 
planting, producing, transporting or de- 
livery of their products are subject to the 
one percent rate of tax with a maximum 
tax of eighty dollars ($80.00) per article 
of merchandise when such containers do 
not go with and become a part of the sale 
of the product at wholesale or retail. 
(b) The following are examples of sales of ma- 
chines and machinery and the parts therefor and 
accessories thereto, which qualify for the one 
percent rate of tax with the eighty dollars 
($80.00) maximum when sold to general farmers 
for use by them in planting, cultivating, harvest- 
ing or curing farm crops: 
[ 1 ) tractors, 

plows, 

harrows, 

cultivators, 

mowers, 

planters, 

corn pickers and snappers, 

manure spreaders, 

manure loaders, 

harvester threshers, 

rotary tillers, 

fertilizer distributors, 

wind-rowers, 

forage blowers, 

stalk cutters, 

seeders, 

grain loaders, 

harvesters, 

cotton pickers, 

rotary hoes, 

corn and hay elevators, 

tobacco curers, 

tobacco flues, 

tobacco trucks or slides, 

wagons, 

non-highway trailers, 

mechanical rakes, 

balers, 

rod weeders, 

combines, 

tobacco transplanters, 

shredders for corn stalks, 

power loader lifts, 

platform carriers, 

portable insecticide sprayers, 

chain saws, 

motor oils, greases, lubricants and anti- 
freeze, (effective February 15, 1984), 
(38) hydraulic fluids. 



21 
3) 
4) 
5) 
6) 

7) 
8) 
9) 

0) 
H 
2) 
3) 
4) 

5) 
6) 

7) 

8) 

9) 

20) 

21) 
22) 
23) 
24) 
25) 
26) 
27) 
28) 
29) 
30) 
31) 
32) 
33) 
34) 
35) 
36) 
37) 



926 



NORTH CAROLINA REGISTER 



FINAL RULES 



(c) Examples of items which arc subject to the 
three percent sales or use tax when sold to gen- 
eral farmers: 

(1) lawn mowers; 

(2) snow plows; 

(3) oil storage tanks and fittings; 

(4) drainage tile; 

(5) paint, cleaning compounds and brushes; 

(6) baler twine; 

(7) tobacco sticks and tobacco twine; 

(8) tools for maintaining machinery and 
equipment; 

(9) plastic mulch, plant bed covers and to- 
bacco canvas. 

(d) The lists in Paragraphs (b) and (c) of this 
Rule are not intended to be exclusive, but are for 
illustrative purposes only. If there is any ques- 
tion whatever as to the tax status of any item 
which does not appear therein, such question 
should be submitted to the secretary, together 
with a detailed statement of the business of the 
purchaser, the design and structure of the article, 
and its use, to the end that the applicable rate of 
tax may be correctly determined. 

(e) The word farmer as used in this Rule in- 
cludes dairy operators, poultry farmers, egg pro- 
ducers, livestock farmers, nurserymen, 
greenhouse operators, orchardmen and other 
persons coming within the generally accepted 
definition of the word. It does not include a 
person who merely cultivates a garden for per- 
sonal use. 

History Note: Statutory Authority G.S. 
105-164.4; 105-164.6; 105-262; 
Eff. February 1, 1976; 

Amended Eff. February 1, I9S8; March I, 1984; 
December 1, 1982; November 1, 1982. 

.1 123 BUILDING MATERIALS SOLD TO 
COMMERCIAL SWINE: LIVESTOCK 
AND POULTRY FARMERS 

(a) Effective August 1, 1986, sales to commer- 
cial livestock and poultry farmers of materials to 
be used exclusively in the construction, repair or 
improvement of any enclosure or structure spe- 
cifically designed, constructed, and used for 
commercial purposes for housing, raising, or 
feeding livestock and poultry or for housing 
equipment necessary for these activities, includ- 
ing work space used solely for these commercial 
activities, are exempt from sales and use taxes. 
Likewise, sales of materials for the above de- 
scribed uses to contractors performing contracts 
with commercial livestock and poultry farmers 
and subcontractors performing contracts with 
general contractors who have contracts with 
commercial livestock and poultry farmers shall 
be exempt. The exemption from tax extends 



only to building materials, as such, which are 
used in the construction, repair or improvement 
of such enclosures or structures and which be- 
come a part of such enclosures or structures. 
The exemption does not extend to sales of 
equipment and machinery used to equip such 
enclosures or structures prior to September 1, 
1987. Effective September 1, 1987, the ex- 
emption was expanded to include sales of com- 
mercially manufactured swine, livestock, and 
poultry facilities to be used for commercial pur- 
poses for housing, raising, or feeding of swine, 
livestock, or poultry or for housing equipment 
necessary for these commercial activities; building 
materials, supplies, fixtures, and equipment to be 
used in the construction, repair, or improvement 
and that become a part of an enclosure or struc- 
ture specifically designed, constructed and used 
for such above commercial purposes; and com- 
mercially manufactured swine, livestock, and 
poultry equipment, parts and accessories therefor 
placed or installed in or affixed to such facilities, 
enclosures, or structures, 
(b) For the purpose of this Rule, the words 
"swine, livestock and poultry" include swine, 
cattle, horses, mules, sheep, chickens, turkeys and 
other similar domestic animals and fowl usually 
held or produced on a farm for commercial pur- 
poses. The word "commercial" shall mean "held 
or produced for income or profit." It does not 
include one who merely produces swine, live- 
stock or poultry for one's personal use or con- 
sumption and not for sale. Commercial swine, 
livestock or poultry farmers, and contractors 
performing contracts with commercial swine, li- 
vestock or poultry farmers and subcontractors 
performing contracts with general contractors 
who contract with commercial swine, livestock 
or poultry farmers may obtain Commercial 
Swine, Livestock and Poultry Farmers' Certif- 
icate, Form E-599S, from the Sales and Use Tax 
Division, North Carolina Department of Re- 
venue, to be executed by them and furnished to 
their vendors in connection with such purchases 
as the vendor's authority to exempt such pur- 
chases from sales and use taxes. 

History Note: Statutory Authority G.S. 
105-/64.4; 105-164.6; 105-262; 
Eff. February 1,1987; 
Amended Eff February 1 , 1988. 

SECTION .1600 -SALES TO OR BY HOSPITALS: 

EDUCATIONAL: CHARITABLE OR RELIGIOUS 

INSTITUTIONS: ETC.: AND REFUNDS 

THERETO 

.1602 REFUNDS TO INSTITUTIONS: ETC. 

(f) To substantiate a refund claim for sales or 
use taxes paid on purchases of building materials, 



, 



NORTH CAROLINA REGISTER 



927 



FINAL RULES 



supplies, fixtures and equipment by its contrac- 
tor, the claimant must secure from such contrac- 
tor certified statements setting forth the cost of 
the property purchased from each vendor and the 
amount of state and local sales or use taxes paid 
thereon. In the event the contractor makes se- 
veral purchases from the same vendor, such cer- 
tified statement must indicate the invoice 
numbers, the inclusive dates of the invoices, the 
total amount of the invoices and the sales and 
use taxes paid thereon. Such statement must 
also include the cost of any tangible personal 
property withdrawn from the contractor's ware- 
house stock and the amount of state and local 
sales or use tax paid thereon by the contractor. 
Similar certified statements by his subcontractors 
must be obtained by the general contractor and 
furnished to the claimant. Any local one percent, 
one and one-half percent or two percent sales or 
use taxes included in the contractor's statements 
must be shown separately from the state sales or 
use taxes. The contractor s statements must not 
contain sales or use taxes paid on purchases of 
tangible personal property by such contractors 
for use in performing the contract which does not 
annex to, affix to or in some manner become a 
part of the building or structure being erected, 
altered or repaired for the institutions and or- 
ganizations named in Paragraph (a) of this Rule. 
Examples of property on which sales or use tax 
has been paid by the contractor and which 
should not be included in the contractor's state- 
ment are scaffolding, forms for concrete, fuel for 
the operation of machinery and equipment, 
tools, equipment repair parts, equipment rentals 
and blueprints. 

History Note: Statutory Authority G.S. 
105-164.14; 105-262; 105-264; 
Eff. February 1, 1976; 

Amended Eff. February 1, 19SS; February 1,1987; 
May 1, 19S5; January 3, 1984. 

SECTION .2300 - SALES TO OUT-OF-STATE 
MERCHANTS FOR RESALE 



sales tax, if all of the following conditions are 
met: 

(1) The wholesale merchant who sells tangible 
personal property for resale delivers to the 
nonresident retail or wholesale merchant 
a bill of sale for each sale of merchandise 
whether sold for cash or on credit, item- 
izing therein the various articles of tangi- 
ble personal property included in said sale, 
and makes and retains a duplicate or car- 
bon copy of each such bill of sale, and 
keeps a file of all such duplicate bills of 
sale for at least three years from the date 
of sale. 

(2) The character of such tangible personal 
property is such as the nonresident retail 
or wholesale merchant ordinarily and 
customarily purchases as a part of his 
stock for resale. 

(3) The nonresident retail or wholesale mer- 
chant is registered for sales and use tax 
purposes in a taxing jurisdiction outside 
this State and furnishes each wholesale 
merchant with a resale certificate, form 
E-590, certifying that he is a registered 
nonresident retail or wholesale merchant, 
and further certifying that the tangible 
personal property purchased by him from 
the wholesale merchant is purchased for 
the purpose of resale at retail or wholesale 
in accordance and compliance with the 
laws of the jurisdiction in which he resides 
or does business. Such resale certificate, 
Form E-590, when properly completed 
and executed by the nonresident retail or 
wholesale merchant and delivered to the 
supplier shall be deemed sufficient evi- 
dence that such nonresident retail or 
wholesale merchant is duly registered in a 
taxing jurisdiction outside this State and 
is engaged in the business of a retail or 
wholesale merchant purchasing tangible 
personal property at wholesale for legiti- 
mate sale in the taxing jurisdiction in 
which he resides or does business. 



.2301 IN GENERAL 

(a) for the purpose of the Sales and Use Tax 
Law, the term "registered nonresident retail or 
wholesale merchant" means a person who does 
not have a place of business in this State, is en- 
gaged in the business of acquinng by purchase, 
consignment or otherwise, tangible personal 
property and selling the property outside this 
State and is registered for sales and use tax pur- 
poses in a taxing jurisdiction outside this State. 

(b) Sales of tangible personal property to reg- 
istered nonresident retail or wholesale merchants 
for resale are exempt from the North Carolina 



llistoty Xote: Statutory Authority G.S. 
105-164.3; 105-/64.5; 105-262; 
Eff. February I, 1976; 
Amended Eff February I, 1988. 

.2302 INTERSTATE SALE 

Sales made by merchants in North Carolina to 
out-of-state purchasers where actual delivery of 
the property is made by the resident vendor to 
such nonresident vendee at a point beyond the 
boundaries of this state and actual possession is 
retained by the vendor until delivery is made, or 
where the delivery is made by a resident vendor 



92S 



NORTH CAROLINA REGISTER 



FINAL RULES 



to a common carrier for delivery to such nonres- 
ident vendee at a destination beyond the bound- 
aries of this state, are sales in interstate 
commerce. Certificates of resale, Form E-590, 
are not required for sales in interstate commerce. 

History Note: Statutory Authority G.S. 
105-164.13; 105-262; 
Eff. February 1, 1976; 
Amended Eff February 1 , 1988. 

.2303 REGISTRATION: WHOLESALER'S 
RESPONSIBILITY 

History Note: Statutory Authority G.S. 
105-164.3; 105-164.5; 105-262; 
Eff. February I, 1976; 
Repealed Eff February I, 1988. 

SECTION .2600 - LIABILITY OF 

CONTRACTORS: USE TAX ON EQUIPMENT 

BROUGHT INTO STATE: BUILDING 

MATERIALS 

.2611 BUILDING MATERIALS 

(d) Effective August 1, 1986, sales to commer- 
cial livestock and poultry farmers of materials to 
be used exclusively in the construction, repair or 
improvement of any enclosure or structure spe- 
cifically designed, constructed, and used for 
commercial purposes for housing, raising, or 
feeding livestock and poultry or for housing 
equipment necessary for these activities, includ- 
ing work space used solely for these commercial 
activities, are exempt from sales and use taxes. 
Likewise, sales of materials for the above de- 
scribed uses to contractors performing contracts 
with commercial livestock and poultry farmers 
and subcontractors performing contracts with 
general contractors who have contracts with 
commercial livestock and poultry farmers shall 
be exempt. The exemption from tax extends 
only to building materials, as such, which are 
used in the construction, repair or improvement 
of such enclosures or structures and which be- 
come a part of such enclosures or structures. 
The exemption does not extend to sales of 
equipment and machinery used to equip such 
enclosures or structures prior to September 1, 
1987. Effective September 1, 1987, the ex- 
emption was expanded to include sales of com- 
mercially manufactured swine, livestock, and 
poultry facilities to be used for commercial pur- 
poses for housing, raising, or feeding of swine, 
livestock, or poultry or for housing equipment 
necessary for these commercial activities; building 
materials, supplies, fixtures, and equipment to be 
used in the construction, repair, or improvement 
and that become a part of an enclosure or struc- 
ture specifically designed, constructed and used 



for such above commercial purposes; and com- 
mercially manufactured swine, livestock, and 
poultry equipment, parts and accessories therefor 
placed or installed in or affixed to such facilities, 
enclosure, or structures, 
(e) For the purpose of this Rule, the words 
"swine, livestock and poultry" include swine, 
cattle, horses, mules, sheep, chickens, turkeys and 
other similar domestic animals and fowl usually 
held or produced on a farm for commercial pur- 
poses. The word "commercial" shall mean "held 
or produced for income or profit." It does not 
include one who merely produces swine, live- 
stock or poultry for one's personal use or con- 
sumption and not for sale. Commercial swine, 
livestock or poultry farmers, and contractors 
performing contracts with commercial swine, li- 
vestock or poultry farmers and subcontractors 
performing contracts with general contractors 
who contract with commercial swine, livestock 
or poultry farmers may obtain Commercial 
Swine, Livestock and Poultry Farmers' Certif- 
icate, Form E-599S, from the Sales and Use Tax 
Division, North Carolina Department of Re- 
venue, or any of its field offices, to be executed 
by them and furnished to their vendors in con- 
nection with such purchases as the vendor's au- 
thority to exempt such purchases from sales and 
use taxes. 

History Note: Statutory Authority G.S. 
105-164.4; 105-164.6; 105-262; 105-264; 
Eff. February 1, 1976; 

Amended Eff. February I, 1988; May 11, 1979; 
September 30, 1977. 

SECTION .4600 - MOTOR VEHICLES AND 
BOATS 

.4601 MOTOR VEHICLES IN GENERAL 

(e) Sales of motor vehicles to registered mer- 
chants for resale are not subject to tax when 
supported by properly executed: 

(1) a Resident and Nonresident Retail or 
Wholesale Merchant's Certificate of Re- 
sale, Form E-590, or 

(2) other evidence in writing adequate to 
support the conclusion that he is regis- 
tered with the Department of Revenue or 
in a taxing jurisdiction outside this State 
for sales and use tax purposes and that the 
property is being purchased for the pur- 
pose of resale. 

Certificates of resale may also be executed by 
registered motor vehicle leasing firms when pur- 
chasing motor vehicles which they will lease or 
rent to their customers since such firms must re- 
mit tax on their lease or rental receipts. Sales of 
motor vehicles to out-of-state merchants who 






NORTH CAROLINA REGISTER 



929 



FINAL RULES 



accept delivery of the vehicles in this State for 
resale in their respective states are not subject to 
tax provided such merchants are registered for 
sales and use tax purposes in a taxing jurisdiction 
outside this State and furnish the North Carolina 
merchant a properly completed Resident and 
Nonresident Retail or Wholesale Merchant's 
Certificate of Resale. Reference is made to 17 
NCAC 7B .2301 for further information regard- 
ing sales to nonresident merchants. 

History Xote: Statutory Authority G.S. 
105-164.4; 105-164.5; 105-164.6; 105-164.13; 
105-262; 

Eff. February I. 1976; 

Amended Eff. February 1, 1988; March I, 1987; 
December 1, 1984; January 3, 1984. 

SECTION .4700 - PRINTERS AND NEWSPAPER 
OR MAGAZINE PUBLISHERS 

.4701 IN GENERAL 

(7) effective July 1, 1983, printed material 
which is sold by a printer to a purchaser 
within or without this state is exempt 
from sales or use tax when such printed 
materia] is delivered in this state by the 
printer to a common carrier or to the 
United States Postal Service for delivery 
to the purchaser or the purchaser's desig- 
nees outside this state, if the purchaser 
does not thereafter use the printed mate- 
rial in this state. Printed material which 
is sold by a printer to a purchaser within 
or without this state is exempt from sales 
or use tax when the printed material is 
delivered by the printer directly to a mail- 
ing house or to a common carrier or to 
the United States Postal Service for deliv- 
ery to a mailing house in this state which 
will preaddress and presort the material 
and deliver it to a common carrier or to 
the United States Postal Service for deliv- 
ery to recipients outside this state desig- 
nated by the purchaser. 
(A) Sales of printed material by a printer 
located within or without this state which 
is delivered directly to the purchaser in 
this state for the original purpose of pre- 
paring and delivering the printed material 
to the United States Postal Service or a 
common carrier for delivery to prospec- 
tive customers or other recipients outside 
this state are exempt from sales and use 
tax provide such purpose is consum- 
mated. A purchaser of such printed ma- 
terial for preparation and delivery to 
prospective customers and other recipients 
outside this state must furnish the vendor 



a written statement certifying that the 
printed material is being purchased for use 
in a mailing program which is in place at 
the time of purchase; otherwise, the ven- 
dor must collect and remit the tax on such 
sales. Sales of printed materials to a user 
or consumer in this state to be placed in 
the purchaser's inventory for use as 
needed are subject to sales or use taxes 
notwithstanding that all or a portion of 
the printed material may be delivered to 
the United States Postal Service or a 
common carrier for delivery to prospec- 
tive customers or other recipients outside 
this state. 

(B) A printer who sells printed materia] 
which is delivered to an in-state or out- 
of-state purchaser at a point within this 
state or which is delivered to a common 
carrier or the United States Postal Service 
for delivery to the purchaser at a point 
within this state who prepares the material 
to be mailed to prospective customers or 
other recipients without charge and trans- 
ports the material outside this state to be 
delivered to the United States Postal Ser- 
vice or a common carrier or to a mailing 
house outside this state for delivery to de- 
signated recipients is liable for sales or use 
tax except as provided herein. 

(C) The sale of printed materials by vendors 
other than printers and other types of 
tangible personal property which is pro- 
vided without charge to recipients, 
whether it be advertising materials or gifts 
or donations, are subject to sales or use 
tax even though the items in question may 
be mailed to designated recipients outside 
this state. For example, a purchaser in 
this state buys tangible personal property 
other than printed material from a printer 
which is given to a donee within or with- 
out this state and directs that the item be 
shipped or mailed to the donee. This 
transaction is subject to sales or use tax. 

History Note: Statutory Authority G.S. 
105-164.4; 105-164.5; 105-164.6; 105-164.13; 
105-262; 105-264; 
Eff. February 1, 1976; 

Amended Eff February 1, 1988; April 1, 1986; 
February I, 1986; January 3, 1984. 

CHAPTER 8 - INTANGIBLE TAX 

SECTION .0700 - BENEFICIAL OR EQUITABLE 
INTEREST IN FOREIGN TRUSTS 

.0704 EXEMPTIONS 



930 



NORTH CAROLINA REGISTER 



FINAL RULES 



(c) If the trustee of a foreign trust has sole dis- 
cretion under the terms of the trust instrument 
as to distribution of income, a North Carolina 
beneficiary would not have a beneficial or equi- 
table interest in such foreign trust. 

History Note: Statutory Authority 
G.S. 105-204; 105-262; 
Eff. February 1, 1976; 
Amended Eff. February 1, I9SS; 
August 31, 1981; July I. 1977. 

SECTION .1000 - VALUATION DATES 

.1002 NEWLY CREATED BUSINESSES: 
ESTATES: ETC. 

All newly created or qualified partnerships, cor- 
porations, estates and other taxpayers (using a 
fiscal year) who have not previously reported on 
a fiscal year basis for North Carolina state in- 
come tax purposes prior to December 31 are re- 
quired to report all intangible property as of 
December 31. After such taxpayers have re- 
ported on a fiscal year basis for North Carolina 
state income tax purposes, they are required to 
report accounts receivable; and notes, bonds and 
other evidences of debt as of the last fiscal year 
ending prior to December 3 1 . 

History Note: Statutory Authority 
G.S. '105-199 to 105-205; 105-262; 
Eff. February I, 1976; 
Amended Eff February 1, I9S8; 
December I, I9S5. 

SECTION .1800 - MINIMUM TAX 
REQUIREMENT FOR FILING RET! RNS 

.1801 IN GENERAL 

No return (Form II-S01) is required if the total 
tax on all intangible property does not exceed 
fifteen dollars ($15.00); however, if returns were 
filed for prior years, a taxpayer may file an "in- 
formation only" return showing no tax due. 

History Note: Statutory: Authority 
G.S. 105-214; 105-262; 
Eff. February 1, 1976; 
Amended Eff. February 1. 1988; 
December I, 1985; August 31, 1981; 
October 30. 1980. 

TITLE 18 - SECRETARY OF STATE 
CHAPTER 6 - SECURITIES DIVISION 

SECTION .1600 - REGISTRATION OF 
QUALIFIED BUSINESSES 

.1601 IM RPOSE 



The Securities Division of the Office of the 
Secretary of State of North Carolina is authorized 
by Article 4 of Chapter 105 of the North Caro- 
lina General Statutes to register certain qualified 
businesses as "Qualified Investment Organiza- 
tions", "Qualified Business Ventures", and 
"Qualified Grantee Businesses" as those terms 
are defined by G.S. 105-163.091, so that invest- 
ments in such qualified businesses are eligible for 
the income tax credit provided for by G.S. 105- 
163.092. These rules also establish the procedure 
for filing the final report required by G.S. 
105-163.094 when the existence of a "qualified 
investment organization" is terminated. 

History Note: Filed as a Temporary 
Adoption Eff January I, 1988 
For a Period of 180 Days to 
Expire on June 29, 1988; 
Statutory Authority G.S. 105-163.094. 

.1602 PROCEDURE FOR APPLICATION FOR 
REGISTRATION 

(a) A business which seeks to qualify as either 
a "qualified investment organization", "qualified 
business venture" or "qualified grantee business" 
shall make written application to the Securities 
Division of the Department of the Secretary of 
State of North Carolina on an application form 
entitled "Application For Registration as a Qua- 
lified Investment Organization Qualified Busi- 
ness Venture Qualified Grantee Business" 
furnished upon request by the Securities Divi- 
sion. 

(b) General Information Required in Applica- 
tion. F.ach application for registration shall 
contain the following information: 

( 1 ) the classification (either Qualified Invest- 
ment Organization, Qualified Business 
Venture, or Qualified Grantee Business) 
for which the applicant business seeks to 
qualify; 

(2) an indication as to whether the applica- 
tion is for the initial registration of the 
applicant business, or for the renewal of a 
registration; 

(3) the full legal name of the applicant busi- 
ness; 

(4) the street address and, if different, the 
mailing address of the principal office of 
the applicant business; 

(5) the telephone number and the Employer 
Identification Number of the applicant 
business; 

(6) the date on which the applicant business' 
fiscal year ends; 

(7) the type of business organization of the 
applicant business, and a copy of the do- 
cuments, if any, under which the applicant 



NORTH CAROLINA REGISTER 



931 



FINAL RULES 



business is organized (for example, the 
articles of incorporation; the certificate of 
limited partnership; trust documents; cer- 
tificate of assumed name; etc.); 

(8) the name of the authorized representative 
of the applicant business, his title, street 
address, mailing address (if different from 
street address), and telephone number; 

(9) if the applicant business is a corporation, 
the date of and state of incorporation; and 

(10) a representation that the applicant busi- 
ness has disclosed or will disclose to its 
investors that a tax credit pursuant to G.S. 
105-163.092 is not available for an invest- 
ment in the applicant business until the 
following requirements have been satis- 
fied: 

(A) the applicant business must have been 
designated by the Securities Division as 
either a qualified investment organization, 
a qualified business venture, or a qualified 
szrantce business, as those terms are de- 
fined by G.S. 105-163.091; 

(B) all statutory limits on the tax credit for 
investments in qualified businesses must 
have been disclosed to the investors; and 

(C) the investor must have requested and 
received from the Securities Division a 
certificate stating that investments in the 
applicant business are eligible for the in- 
come tax credit of G.S. 105-163.092. and 
must have attached such certificate to the 
application made to claim the tax credit 
submitted by the investor to the Secretary 
of Revenue. 

If, at the time the application for registration is 
submitted, the disclosures required by Item (b) 
(10) (B) of this Rule have been made to the in- 
vestors, the applicant business shall attach to its 
application for registration written evidence of 
such disclosures, 
(c) Specific Information Required -- Qualified 
Investment Organization. The application for 
registration as a "qualified investment organiza- 
tion" shall contain the following information and 
representations on a form entitled "Attachment 
A — Qualified Investment Organization" avail- 
able upon request from the Securities Division: 
(1) a statement that the following represent- 
ations are true, complete, correct, and not 
misleading: 
(A) the applicant business intends to invest 
at least seventy percent of its capital in 
equity securities [as defined in G.S. 105- 
163.091(4)] or subordinated debt |as de- 
fined in G.S. 105-163.()91(7)| of qualified 
business ventures [as defined in G.S. 
I05-163.091(7)| or of qualified grantee 



businesses |as defined in G.S. 
105-163.091(8)1; 

(B) the applicant business has an initial ca- 
pitalization of at least five million dollars 
($5,000,000), of which no more than two 
million dollars ($2,000,000) is to be con- 
tributed pursuant to binding commit- 
ments; 

(C) the applicant business does not own the 
securities of any business for the purpose 
of operating the business or for any pur- 
pose other than as an investment for fu- 
ture sale; 

(D) the applicant is either controlled by a 
financial institution [as defined in G.S. 
105-163.091(5)|, or is not controlled by 
any other business (NOTE: if the appli- 
cant business is controlled by a financial 
institution, give the name, address, and 
telephone number of such financial insti- 
tution); and 

(I") the applicant business was not organ- 
ized to invest in only one business or one 
group of businesses that conduct the same 
or a similar type of business activity; and 
(2) in applications for renewal of registration 
as a qualified investment organization, a 
schedule describing the applicant business' 
investments in qualified business ventures 
and qualified grantee businesses, submit- 
ted on a form entitled "Attachment A-l 
-- Schedule of Investments in Qualified 
Business Ventures and Qualified Grantee 
Businesses" available upon request from 
the Securities Division. 
(d) Specific Information and Representations 
Required -- Qualified Business Venture. The 
application for registration of a "qualified busi- 
ness venture" shall contain the following infor- 
mation and representations on a form entitled 
"Attachment B -- Qualified Business Venture" 
available upon request from the Securities Divi- 
sion: 

( 1 ) a statement that the following represent- 
ations are true, complete, correct, and not 
misleading: 

(A) both the headquarters and principal 
business operations of the applicant busi- 
ness are in North Carolina; or, as a con- 
dition for eligibility of an investment in 
the applicant business for the tax credit 
established by G.S. 105-163.092, the ap- 
plicant business agrees to establish its 
headquarters and principal business oper- 
ations in North Carolina within three 
months after the investment is made; 

(B) as a condition of an investment eligible 
for the tax credit established by G.S. 
105-163.092, the applicant business agrees 



932 



NORTH CAROLINA REGISTER 



FINAL RULES 



to retain its headquarters and principal 
business operations in North Carolina for 
at least three years following the invest- 
ment; 

(C) the applicant business is organized to 
engage primarily in manufacturing, proc- 
essing, warehousing, wholesaling, or re- 
search and development, or a 
service-related industry; and 

(D) the applicant business does not engage 
as a substantial part of its business in 
construction, contracting, selling goods at 
retail, or the purchase, sale, development, 
or holding for investment of commercial 
paper, financial instruments, securities, or 
real property, or otherwise make invest- 
ments; 

(2) in the event that the applicant business has 
agreed to establish its headquarters and 
principal business operations in North 
Carolina for the purpose of qualifying in- 
vestments for the tax credit, an undertak- 
ing that the applicant will notify in writing 
the Securities Division of the Department 
of the Secretary of State of North Caro- 
lina immediately upon the occurrence of 
any of the following: 

(A) the receipt of the first investment in the 
applicant business for which a tax credit 
pursuant to G.S. 105-163.092 is claimed; 

(B) the establishment by the applicant bu- 
siness of its headquarters and principal 
business operations in North Carolina; or 

(O the failure of the applicant business to 
establish its headquarters and principal 
business operations in North Carolina 
within three months following the first 
investment in the applicant business for 
which a tax credit pursuant to G.S. 105- 
163.092 is claimed; 

(3) an undertaking to immediately notify in 
writing the Securities Division of the De- 
partment of the Secretary of State of 
North Carolina of the date on which ci- 
ther the headquarters or the principal bu- 
siness operations of the applicant business 
are removed from North Carolina, in the 
event that the applicant business docs not 
retain its headquarters or principal busi- 
ness operations in North Carolina for a 
period of at least three years following the 
date of each investment in that business 
for which a tax credit is claimed; and 

(4) a financial statement for its most recent 
fiscal year, certified by an independent 
certified public accountant, showing that 
the applicant business had revenues of five 
million dollars ($5,000,000) or less, deter- 



mined on a consolidated basis using gen- 
erally accepted accounting procedures, 
(e) Specific Information and Representations 
Required -- Qualified Grantee Business. The 
application for registration of a "qualified grantee 
business" shall contain the following information 
and representations on a form entitled "Attach- 
ment C - Qualified Grantee Business" available 
upon request from the Securities Division: 

(1) a statement that the following represent- 
ations are true, complete, correct, and not 
misleading: 

(A) both the headquarters and principal 
business operations of the applicant busi- 
ness are in North Carolina; or that, as a 
condition for eligibility of an investment 
in the applicant business for the tax credit 
pursuant to G.S. 105-163.092, the appli- 
cant business agrees to establish its 
headquarters and principal business oper- 
ations in North Carolina within three 
months after the investment is made; 

(B) as a condition of an investment eligible 
for a tax credit pursuant to G.S. 
105-163.092, the applicant business agrees 
to retain its headquarters and principal 
business operations in North Carolina for 
at least three years following the invest- 
ment; and 

(C) the applicant business has received 
during the three years preceding the filing 
of its initial application for registration a 
grant or other funding from either the 
North Carolina Technological Develop- 
ment Authority, the North Carolina Bio- 
technology Center, the Microelectronics 
Center of North Carolina, or the Federal 
Small Business Innovative Research Pro- 
gram; 

(2) in the event that the applicant business has 
agreed to establish its headquarters and 
principal business operations in North 
Carolina for the purpose of qualifying in- 
vestments for the tax credit, an undertak- 
ing that the applicant will notify in writing 
the Securities Division of the Department 
of the Secretary of State of North Caro- 
lina immediately upon the occurrence of 
any of the following: 

(A) the receipt of the first investment in the 
applicant business for which a tax credit 
pursuant to G.S. 105-163.092 is claimed; 

(B) the establishment by the applicant bu- 
siness of its headquarters and principal 
business operations in North Carolina; or 

(C) the failure of the applicant business to 
establish its headquarters and principal 
business operations in North Carolina 
within three months following the first 



NORTH CAROLINA REGISTER 



933 



FINAL RULES 



investment in the applicant business for 
which a tax credit pursuant to G.S. 105- 
163.042 is claimed; 

(3) an undertaking to immediately notify in 
writing the Securities Division of the De- 
partment of the Secretary of State of 
North Carolina of the date on which ei- 
ther the headquarters or the principal bu- 
siness operations of the applicant business 
are removed from North Carolina, in the 
event that the applicant business does not 
retain its headquarters and principal busi- 
ness operations in North Carolina for a 
period of at least three years following the 
date of each investment in that business 
for which a tax credit is claimed; and 

(4) documentary evidence of the receipt of the 
grant or funding certified to in Item (e) (1) 
(C) of this Rule. 

(f) Signing of the Application. Fach applica- 
tion for registration shall be signed by the au- 
thorized representative of the applicant business, 
and each application shall contain the following 
affirmation by the signing authorized represen- 
tative: "Under penalties prescribed by law, I 
certify and affirm that to the best of my know- 
ledge and belief this application is true and com- 
plete." 

(g) filing Fee. The filing fee for an initial ap- 
plication for registration as a qualified investment 
organization, qualified business venture, or qual- 
ified urantee business shall be One Hundred 
Dollars ($100.00). The filing fee shall be payable 
by check, made payable to the order of "SEC- 
RETARY OF STATE", and shall accompany 
the application for registration. 

(h) Where to File Application for Registration. 
All applications for registration shall be filed by 
mailing the application, together with any sup- 
plemental schedules or statements and the filing 
fee, to: 

QUALIFIED BUSINESS REGISTRATION 
Department of the Secretary of State 
Securities Division 
Room 404 

300 North Salisbury Street 
Raleigh, North Carolina 27611. 
(i) Due Date for filing Application for Regis- 
tration. The initial application for registration 
shall be filed prior to making of the investment 
for which an income tax credit pursuant to G.S. 
105-163.092 will be claimed, 
(j) Review of Application; Notification of 
Qualification Status. 

( 1 1 The date of tiling of all applications for 
registration (both initial and renewals) 
shall be recorded at the time of receipt the 
Securities Division and shall not be con- 
strued to be the date of mailing. Recor- 



dation of the date of filing does not 
indicate that the application is complete. 

(2) The Administrator of the Securities Divi- 
sion shall review all applications and des- 
ignate those he determines to be complete. 
In the event that the administrator deter- 
mines that an application is incomplete in 
any respect, the applicant will be notified 
within 15 days. An incomplete applica- 
tion shall be resubmitted. 

(3) Upon examination of the application for 
registration, the administrator shall deter- 
mine whether the applicant business 
meets the requirements for classification 
as a qualified investment organization, 
qualified business venture, or qualified 
grantee business, as the case may be. 
When the determination has been made, 
the administrator shall notify the appli- 
cant business of its determination and that 
persons interested in tax-favored invest- 
ments with respect to the applicant busi- 
ness may obtain from the Securities 
Division certificates of such qualified sta- 
tus. 

(4) The submission of any false or misleading 
information in connection with an appli- 
cation for registration shall be grounds for 
rejection of the application and or revo- 
cation of the registration. 

History Sole: Filed as a Temporary 
Adoption F.ff. January 1 , I9S8 
For a Period of ISO Days to 
Expire on June 29, 1988; 
Statutory Authority G.S. 105-163.094. 

.1603 RENEWAL OK REGISTRATION 

(a) Subsequent to its initial qualification as ei- 
ther a "qualified investment organization", 
"qualified business venture", or "qualified gran- 
tee business", a business which wishes to main- 
tain its "qualified" status shall make written 
application for renewal of such status annually 
to the Securities Division of the Department of 
the Secretary of State of North Carolina on ap- 
plication forms entitled "Application For Regis- 
tration as a Qualified Investment 
Organization Qualified Business 
Venture Qualified Grantee Business" furnished 
by the Securities Division upon request. 

(b) Information Required in Application tor 
Renewal of Registration. In its application lor 
renewal of registration, the applicant business 
must certify the facts required in its original ap- 
plication for registration and that it has not 
moved its headquarters or principal business op- 
erations out of North Carolina. Such certif- 
ication is accomplished by the execution and 



934 



NORTH CAROLINA REGISTER 



FINAL RULES 



submission to the Securities Division of an ap- 
plication for registration, with any necessary 
schedules or statements, marked with an indi- 
cation that such application is for renewal of re- 
gistration. An applicant business which wishes 
to renew its registration as a qualified investment 
organization must attach to its application a 
schedule of its investments in qualified business 
ventures and qualified grantee businesses, revised 
as of the close of the applicant business' most 
recent fiscal year. An applicant business which 
wishes to renew its registration as a qualified bu- 
siness venture must attach to its application a fi- 
nancial statement for its most recent fiscal year, 
certified by an independent certified public ac- 
countant and showing revenues of five million 
dollars ($5,000,000) or less, as determined on a 
consolidated basis in accordance with generally 
accepted accounting procedures. 

(c) Due Date for Filing Application for Re- 
newal of Registration. The application for re- 
newal of registration shall be filed with the 
Securities Division no later than the 1 5th day of 
the third month following the close of the appli- 
cant business' fiscal year. 

(d) Signing of the Application for Renewal of 
Registration. Bach application for renewal of 
registration shall be signed by the authorized re- 
presentative of the applicant business, and each 
such application shall contain the following af- 
firmation by the signing authorized represen- 
tative: "Under penalties prescribed by law, I 
certify and affirm that to the best of my know- 
ledge and belief this application is true and com- 
plete." 

(e) Filing Fee. The filing fee for each applica- 
tion for renewal of registration as a "qualified" 
business shall be fifty dollars ($50.00). The filing 
fee shall be payable by check, made pavable to 
the order of "SECRETARY OF STATE", and 
shall accompany the application for renewal of 
registration. 

(f) Where to File Application for Renewal of 
Registration. Each application for renewal of 
registration shall be filed in the same manner as 
the original application for registration. 

History Note: Filed as a Temporary 
Adoption Eff. January 1, 1988 
For a Period of 180 Days 
to Expire on June 29, 1988; 
Statutory Authority G.S. 105-163.094. 

.1604 AMENDMENT OF APPLICATION 

A business which has registered with the Secu- 
rities Division pursuant to G.S. 105-163.094 may 
amend an application which the administrator 
has determined to be complete at any time by 



submitting new information or evidence as re- 
quired by Rule .1602 or Rule .1603. The same 
procedural requirements shall apply to the 
amendment. 

History Note: Filed as a Temporary 
Adoption Eff. January I, 1988 
For a Period of 180 Days 
to Expire on June 29, 1988; 
Statutory Authority G.S. 105-/63.094. 

.1605 OBTAINING CERTIFICATES OF 
REGISTRATION 

Persons who contemplate investment in a qual- 
ified investment organization, a qualified business 
venture, or a qualified grantee business may ob- 
tain a certificate stating that an applicant business 
has registered as a "qualified" business with the 
Securities Division of the Department of the 
Secretary of State and has met all requirements 
of qualification by requesting such certificate in 
writing from: 

CERTIFICATE OF QUALIFIED STATUS 
Department of Secretary of State 
Securities Division 
Room 404 

300 North Salisbury Street 
Raleigh, North Carolina 2761 1. 

History Note: Filed as a Temporary 
Adoption Eff. January 1, 1988 
For a Period of 180 Days 
to Expire on June 29, 1988; 
Statutory Authority G.S. 105-163.094. 

.1606 REPORTING REQUIREMENT 
/TERMINATION/QUALIFIED 

INVESTMENT ORGANIZATION 

When the existence of a business registered as a 
qualified investment organization is terminated, 
the business must file a final report with the Se- 
curities Division of the Department of the Secre- 
tary of State. In the final report, the business 
must include the following information: 

(1) its name and address; 

(2) its employer identification number; 

(3) the name, address, title, and telephone 
number of its successor in interest or person 
authorized to file the final report; 

(4) the date (approximate) on which the exist- 
ence of the business will be or was termi- 
nated; 

(5) a description of its investments in qualified 
business ventures and qualified grantee bu- 
sinesses as of the date of termination; 

(6) a certification that it invested at least 70 
percent of its capital in equity securities or 
subordinated debt of qualified business ven- 
tures or qualified grantee businesses; and 



NORTH CAROLINA REGISTER 



935 



FINAL RULES 



(7) an affirmation of the person filing the final 
report in the following form: "Under pen- 
alties prescribed by law, 1 certify and affirm 
that to the best of my knowledge and belief 
the information contained in this Final Re- 
port is true and complete." 
The final report shall be in letter form and shall 
be filed by mailing it to the address at which the 
business had filed its application for registration. 
No fee is required to be submitted with the final 
report. 

History Sole: Filed as a Temporary 
Adoption Eff. January 1 , 1988 
For a Period of 180 Days 
to Expire on June 29. 1988; 
Statutory Authority G.S. 105- 163.094(a). 

TITLE 19A - DFPARTMFNT OF 
TRANSPORTATION 

CIIAF'TER 2 - DIVISION OF HIGHWAYS 

SUBCHAPTER 2B - HIGHWAY PLANNING 

SECTION .0100 - RIGHT OF WAV 

.0143 THE SALE OF SURPLUS LANDS 

(a) Department of Transportation policy rela- 
tive to disposal of remainder properties acquired 
in connection with acquisition of right of way is 
as follows: 

(1) The sale of all residues will be by public 
sale except as hereinafter specified. 

(2) Residue properties sold by public sale are 
to be sold by either sealed bid, or by auc- 
tion at the election of the right of way 
branch. The sale of such properties must 
be advertised by publication in a newspa- 
per having general circulation in the 
county in which the property is situated. 
After opening bids or closing of auction, 
no upset bids will be considered. The 
high bid shall be presented to the Depart- 
ment of Transportation at its next regular 
meeting after the date of the sale for re- 
jection or acceptance. The Department 
of Transportation reserves the right to re- 
ject all bids. 

(3) Those residue properties located adjacent 
to controlled access projects that are 
landlocked may be sold to the adjoining 
property owner by negotiation rather than 
public sale for a consideration not less 
than the appraised value of the residue. 

(4) Residue properties may be sold to state 
agencies and institutions and other gov- 
ernmental units by negotiation rather than 
public sale for a consideration not less 
than the appraised value of the residue. 



(5) Surplus property acquired in connection 
with highway purposes may be used for 
the purpose of exchange with a public 
utility company in part or in full consid- 
eration for property to be acquired for 
highway purposes from the public utility- 
company. Such exchanges shall be based 
on the appraised values of the surplus 
property and the property to be acquired 
for highway purposes. Residue property 
acquired in connection with right of way 
for a project may be used for the purpose 
of exchange in part or full consideration 
for right of way being acquired from an- 
other property owner on the project. 
Such exchanges to be based on the ap- 
praised values of the residue property and 
the right of way to be acquired. 

(6) Residues which have an area of one-half 

acre or less or a value of one thousand 
dollars ( $ 1 ,000) or less and the highest and 
best use is for assemblage with adjacent 
property may be sold without advertising 
by negotiations to an adjoining owner. 
The Property Management Unit together 
with an area appraiser will determine the 
value of the residue based on its after va- 
lue as indicated in the original appraisal, 
sales of similar properties and sales of 
other residues, if any, in the area. After a 
value has been established, the State Pro- 
perty Manager may negotiate with the 
adjoining owners concerning the disposal 
of each residue. The decision of the State 
Property Manager to accept and complete 
a sale is final. 

(7) The Manager of Right of Way is delegated 
authority to dispose of residues with ap- 
praised values of less than one hundred 
dollars ($100.00) by executing and deliv- 
ering on behalf of the Department of 

Transportation, a quit claim deed to the 
buyers of such residues, after the trans- 
actions are first approved by the Board of 
Transportation. Conveyances of residues 
with appraised values of less than one 
hundred dollars ($100.00) shall not require 
the approval of the Governor and Council 
of State, 
(b) Should the Department of 'Transportation 
purchase a property in its entirety for right of way 
purposes and at a later date reduce the right of 
way. thus creating a residue, the original owner 
shall be offered the first refusal to purchase the 
residue. The purchase price is to be negotiated 
with the former owner or other prospective buy- 
ers taking into consideration the purchase price 
paid by the Department of Transportation, the 
current value of the property, and the propor- 



936 



AORTH CAROLINA REGISTER 



FINAL RULES 



tionate part of the entire tract being retained by 
the Department of Transportation. In the event 
the former owner does not desire to repurchase 
the residue area, the residue shall be offered for 
sale at public sale with the right reserved to reject 
all bids. 

History Note: Statuton' Authority G.S. 
136-18(2); 136-19; 143B-350(f),(g); 
Eff. July 1, 1978; 
Amended Eff. February 1. 1988; 
November I, 1986; August I, 1982. 

CHAPTER 3 - DIVISION OK MOTOR 
VEHICLES 

SUBCHAPTER 31 - RULES AND REGULATIONS 

GOVERNING II IK LICENSING OF 

COMMERCIAL DRIVER TRAINING SCHOOLS 

AND INSTRUCTIONS 

SECTION .0200 - REQl IREMENTS AND 

APPLICATIONS FOR COMMERCIAL DRIVER 

TRAINING SCHOOLS 

.0210 LICENSE FEES 

Every application for an original or renewal li- 
cense for a commercial driver training school or 
branch must be accompanied by a fee of forty 
dollars ($40.00), which is nonrefundable. 

History Note: Statuton' Authority G.S. 
20-324; 
Eff. February' 1, 1988. 

SECTION .0300 -SCHOOL LOCATION: 

PHYSICAL FACILITIES: AND C Ol RSES OF 

INSTRUCTION 

.0308 BRANCHES 

A branch shall meet all requirements of a prin- 
cipal place of business including those listed in 
Rules .0302 and .0303 of this Section. 

History Note: Statutory Authority G.S. 
20-322 through 20-324; 
Eff February I, 1988. 

SECTION .0500 - REQUIREMENTS AND 

APPLICATIONS FOR DRIVER TRAINING 

INSTRl CTOR 

.0501 REQLIREMENTS 

(a) Each instructor of a commercial driver 
training school, or branch shall: 

(1) be of good moral character; 

(2) have at least four years of experience as a 
licensed operator of a motor vehicle; 

(3) not have been convicted of a felony or 
convicted of a misdemeanor involving 



moral turpitude in the ten years imme- 
diately preceding the date of application; 

(4) not have had a revocation or suspension 
of his driver's license in the two years im- 
mediately preceding the date of applica- 
tion; 

(5) have graduated from high school or hold 
a high school equivalency certificate; 

(6) not have had convictions for moving vio- 
lations totaling seven or more points in 
the year preceding the date of application; 

(7) have completed the two-semester hour, 
college credit preparatory course for 
teachers; an equivalent course approved 
by the commissioner, or an Instructor 
Training Program conducted by an ap- 
proved Commercial Driver Training 
School. 

(b) An applicant may apply for a temporary 
instructor's license which would be valid for three 
months. To be eligible for a temporary instruc- 
tor's license, the applicant shall meet require- 
ments (a) (1) through (6); and shall: 

(1) submit an Instructor Application with an 
eight dollar ($8.00) application fee; 

(2) successfully complete 30 hours of class- 
work as a student at an approved com- 
mercial driver training school; 

(3) successfully complete six hours of be- 
hind-the-wheel training as a student at an 
approved commercial driver training 
school; 

(4) successfully complete six hours of obser- 
vation of behind- the-wheel instruction of 
a new driver by a licensed instructor; 

(5) successfully complete the written test ad- 
ministered by a Driver Education Spe- 
cialist; 

(6) successfully complete the Miller Road 
lest given by a Driver Education Spe- 
cialist; 

(7) be allowed only one retest of written test 
and Miller Road Test given by a Driver 
Education Specialist; 

(8) successfully complete two hours of class- 
room instruction while being observed by 
a Driver Education Specialist; 

(9) successfully complete two hours of be- 
hind-the-whcel instruction while being 
observed by a Driver Education Specialist; 

(10) be recommended by a Driver Education 
Specialist to receive an instructor's license. 

(c) An instructor at an approved commercial 
driver training school may apply for an Instructor 
Trainer license. The Instructor Trainer shall: 

(1) have five consecutive years as an active li- 
censed instructor; 

(2) complete two hours of classroom obser- 
vation by a Driver Education Specialist; 



NORTH CAROLINA REGISTER 



937 



FINAL RULES 



(3) complete two hours of behind-the-wheel 
observation by a Driver Education Spe- 
cialist; 

(4) be recommended by a Driver Education 
Specialist; 

(5) submit application for Instructor Trainer 
License with fee of eight dollars ($8.00); 

(6) must qualify each school year. 

History Note: Statutory Authority G.S. 
20-322 through 20-324; 
Eff. July 2, 1979; 

Amended Eff. February 1, I9SS; May I. 19S7; 
June 1, I9S2. 

SECTION .0X00 - LICENSE REVOCATION OR 
SUSPENSION 

.0803 REVOCATION OR SUSPENSION 
PROCEDURE 

If any school or instructor is alleged to be in 
violation of any provision of Article 14, G.S. 
Chapter 20 or of any provision of these Regu- 



lations, the school or instructor shall be notified 
by certified or registered mail of the suspension 
or revocation. The notification shall set forth the 
details of the alleged violation which forms the 
basis for the action. The school (through its 
owner, partner, or corporate officer) or any in- 
structor, may request in writing a "show-cause" 
hearing. This request must be made within 30 
days of receipt of the certified or registered letter. 
The hearing shall be heard by an officer desig- 
nated by the Commissioner and the school or 
instructor may be represented by counsel. Upon 
completion of the hearing, the division shall no- 
tify the school or instructor within 30 days of the 
decision of the hearing officer. This decision may 
be appealed as provided by G.S. Chapter 1 SOB. 

History Sole: Statutory Authority G.S. 
20-325; 

Eff. July 2, 1979; 

Amended Eff. February 1, 19S8, May 1, 1987; 
June 1, 1982. 



938 



\ORTH CAROLINA REGISTER 



LIST OF RULES AFFECTED 



NORTH CAROLINA ADMINISTRATIVE CODE 
EFFECTIVE: January I, 1988 



AGENCY 

DEPARTMENT OF ADMINISTRATION 



ACTION TAKEN 



1 NCAC 


4A 


.0701-.0704 
.0S01-.0806 
.0901 




Adopted 
Adopted 
Adopted 




6E 


.0101-.0107 

.0201 

.0303-.0305 
.0308 

.0401 -.0402 
.0501 




Repealed 
Repealed 
Repealed 
Repealed 
Repealed 
Repealed 




30B 


.0001 
.0005 
.0007 




Repealed 
Repealed 
Repealed 




30D 


.0101-.0103 

.0201-.0202 
.0301 -.0306 




Adopted 
Adopted 
Adopted 




35 


.0406 




Amended 


DEPARTMENT OF AG 


RICl 


Ml RE 






2 NCAC 


8F 


.0304 


Amended 




43 L 


.0301 -.0302 
.0303-.0305 




Repealed 
Adopted 


DEPARTMENT OF COMMERCE 






4 NCAC 


6C 


.0403 
.0407 




Amended 
Adopted 


GOVERNOR'S OFFICE 










9 NCAC 


2 


Executive Order Number 58 








Eff. 12-11-87 










Executive Order Number 


59 








Eff. 12-11-87 










Executive Order Number 60 








Eff. 12-11-87 










Executive Order Number 61 








Eff. 12-30-87 










Executive Order Number 


62 








Eff. 12-30-87 






DEPARTMENT OF HUMAN RESOURCES 






10 NCAC 


SB 


.0801 -.0802 




Adopted 




8F 


.0208 




Amended 




10B 


.0626 




Amended 




IOC 


.0312 
.0313 
.0317 
.0321-. 0324 




Amended 
Repealed 
Repealed 
Amended 



NORTH CAROLINA REGISTER 



939 



LIST OF RULES AFFECTED 



.0325 
10G .0801 -.0803 

24A .0607 

261 .0202 

26J .01 03-. 01 04 

.0105-. 01 11 

.0201 -.0206 
26K .0101-. 0106 
46k .01 06-. 01 07 

.0228-. 0243 

.0301-. 0303 
46F .0101 -.01 03 

.0108-.0111 
46G .0108 

.0101-. 0106 

.0201 
49 B .0309 

.0609 

49E .0101-. 0103 

DEPAR I MEN! OF .11 STICK 

12 NCAC 9A .0103 
DEPARTMENT OF LABOR 

13 NCAC 7C .0101 

DEPARTMKN I OF ( RIME CONTROL AND PUBLIC SAFETY 

14A NCAC 11 .0201-.0216 

.0401-. 0416 



Repealed 

Temp. Adopted 

Expires 6-29-88 

Temp. Adopted 

Expires 6-28-88 

Amended 

Amended 

Repealed 

Repealed 

Adopted 

Repealed 

Repealed 

Repealed 

Repealed 

Adopted 

Adopted 

Amended 

Amended 

Temp. Amended 

Expires 6-28-88 

Temp. Adopted 

Expires 6-28-88 

Adopted 



Amended 



Amended 



Repealed 
Adopted 



DEPARTMENT OF NATURAL RESOURCES AND COMMUNITY DEVELOPMENT 



15 



NCAC 2B .0217 
2D .0524 

2H .0408-. 0409 
.1001-. 1004 
3B .0901 
3C .0210 
16E .0101-. 0106 

.0201-. 0202 



DEPARTMENT OF EDUCATION 

16 NCAC 6C .0312 

DEPARTMENT OF REVF.Nl E 



r 



NCAC 5C .2502 



Repealed 
Temp. Amended 
Expires 6-30-88 
Repealed 
Adopted 
Amended 
Amended 
Temp. Adopted 
Expires 6-11-88 
Temp. Adopted 
Expires 6-1 1-88 



Amended 



Amended 



940 



NORTH CAROLINA REGISTER 



LIST OF RULES AFFECTED 



SECRETARY OF STATE 



IX 



NCAC 6 .1601-. 1606 



DEPARTMENT OF TRANSPORTATION 

19A NCAC 3C .0202 

3D .0901-.0904 

BOARD OF CERTIFIED PUBLIC ACCOUNTANT EXAMINERS 

21 NCAC 8F .0409 

BOARD OF MORTUARY SCIENCE 

21 NCAC 34 .0123 

COMMUNITY COLLEGES 

23 NCAC 2C .0105 

2E .0201 

HOUSING FINANCE AGENCY 



24 


NCAC 


ID 


.0601- 


.0604 






IK 


.0501- 


.0504 


OFFICE OF STATE PERSONNEL 




25 


NCAC 


1C 

111 


.0404 
.0604 
.0609 
.0618- 


.0624 


OFFICE OF ADMINISTRAT 


VE HEARINGS 



26 



2A 


.0102 




.0201-.0202 




.0207 




.0209-.0210 




.0301 




.0401-.0405 




.0502 




.0507 


2B 


.0302 


3 


.0025 




.0025 




.0026 



Temp. Adopted 
Expires 6-29-88 



Amended 
Adopted 



Amended 



Amended 



Amended 
Amended 



.0026 



Adopted 
Adopted 



Temp. Repealed 
Expires 6-28-88 
Temp. Repealed 
Expires 6-28-88 
Temp. Repealed 
Expires 6-28-88 
Temp. Adopted 
Expires 6-28-88 



Amended 

Amended 

Amended 

Amended 

Amended 

Amended 

Amended 

Amended 

Amended 

Temp. Repealed 

Expires 1-1-88 

Repealed 

Temp. Amended 

Expires 1-1-88 

Amended 



NORTH CAROLINA REGISTER 



941 



LIST OF RULES AFFECTED 



NORTH CAROLINA ADMINISTRATIVE CODE 
EFFECTIVE: February 1, 1988 



AGENCY 
DEPARTMENT OF CORRECTION 



ACTION TAKEN 



5 NCAC 2D 


.0304 






Temp. Amended 
Expires 3-1-88 


5 NCAC 2G 


.0301 -.0303 






Temp. Repealed 
Expires 5-13-88 


GOVERNOR'S OFFICE 










9 NCAC 2 


Executive Order 


Number 63 






Eff. 1-29-88 










Executive Order Number 64 






Eff. 1-29-88 










Executive Order Number 


65 






Eff. 1-29-88 










Executive Order 


Number 


66 






Eff. 1-29-88 








31 


.0101-. 0102 
.0201-.0205 
.0301-.0304 
.0401-.0403 
.0501-. 0505 
.0601-. 0606 
.0701-.0704 
.0801-.0803 
.0901-. 0904 
.1001-. 1002 
.1101-. 1102 
.1201 






Temp. Adopted 
Expires 8-1-88 
Temp. Adopted 
Expires 8-1-88 
Temp. Adopted 
Expires 8-1-88 
Temp. Adopted 
Expires 8-1-88 
Temp. Adopted 
Expires 8-1-88 
Temp. Adopted 
Expires 8-1-88 
Temp. Adopted 
Expires 8-1-88 
Temp. Adopted 
Expires 8-1-88 
Temp. Adopted 
Expires 8-1-88 
Temp. Adopted 
Expires 8-1-88 
Temp. Adopted 
Expires 8-1-88 
Temp. Adopted 
Expires 8-1-88 


DEPARTMENT OF HUMAN RESOURCES 








10 NCAC 3R 


.1003 






Amended 


7A 


.0101-. 0105 
.0106-. 0109 
.0201-. 0206 
.0208 






Temp. Repealed 
Expires 7-29-88 
Temp. Adopted 
Expires 7-29-88 
Temp. Repealed 
Expires 7-29-88 
Temp. Repealed 



942 



NORTH CAROLINA REGISTER 



LIST OF RULES AFFECTED 





.0209-.0212 




.0401 




.0405-.0406 




.0502 




.0503 


7D 


.0206 


71' 


.0401 -.0403 


XI 


.0016 




.0017 


9D 


.0104 


10F 


.0029 




.0032-.0035 




.0039 




.0042 


10G 


.0101 




.0103-.0105 




.0107 




.0108 




.0202-.0203 




.0502-.0503 




.0505 




.0510 




.0704 


26H 


.0102 




.0104 


DEPARTMENT OF JUSTICI 





T.xpires 7-29-88 
Temp. Adopted 
Expires 7-29-88 
Temp. Adopted 
Expires 7-29-88 
Temp. Adopted 
Expires 7-29-88 
Temp. Repealed 
Expires 7-29-88 
Temp. Adopted 
Expires 7-29-88 
Temp. Amended 
Expires 7-29-88 
Tempt. Amended 
Expires 7-29-88 
Amended 
Adopted 
Temp. Adopted 
Expires 7-29-88 
Amended 
Amended 
Amended 
Amended 
Amended 
Amended 
Amended 
Adopted 
Amended 
Amended 
Amended 
Amended 
Amended 
Amended 
Amended 



12 NCAC 11 .0103 

DEPARTMENT OF CRIME CONTROL AND PUBLIC SAFETY 



Amended 



14A NCAC 11 .0402 

DEPARTMENT OF REVENUE 



Adopted 



17 NCAC 1C .0402 

6B .0315 
.0801 
.0902 
.2203 
.2302 
.2402 
.2502 
.2806 
.2901 
.3303 
.3504 
.3712 
.3722 



Amended 
Amended 
Amended 
Amended 
Amended 
Amended 
Amended 
Amended 
Amended 
Amended 
Amended 
Amended 
Amended 
Amended 



NORTH CAROLINA REGISTER 



943 



LIST OF RULES AFFECTED 



.3801-. 3803 
6C .0202 
6D .0101-. 0102 
7B .0106 

.1003 

.1101 

.1123 

.1602 

.2301-. 2302 

.2303 

.2611 

.4601 

.4701 
8 .0704 

.1002 

.1801 



Amended 
Amended 
Amended 
Amended 
Amended 
Amended 
Amended 
Amended 
Amended 
Repealed 
Amended 
Amended 
Amended 
Amended 
Amended 
Amended 



DEPARTMEN T OF TRANSPORTATION 

19A NCAC 2B .0143 

31 .0210 

.0308 

.0501 
.0803 



Amended 

.Adopted 
Adopted 
Amended 
Amended 



BOARD OF CERTIFIED PUBLIC ACCOUNTANT EXAMINERS 



21 NCAC 8G .0113 

BOARD OF OPTICIANS 



21 



NCAC 40 



.0104 
.0108 
.0111 
.0206 
.0208 
.0212 
.0303 
.0312 
.0320 



Amended 



Amended 
Amended 

Amended 

Amended 

Repealed 

Adopted 

Amended 

Amended 

Amended 



REAL ESTATE LICENSING BOARD 

21 NCAC 58A .0107-.0108 

.0110 
.0403 

.1401-. 1404 
58B .0203 
.0501 
.0601-.0602 

OFFICE OF STATE PERSONNEL 

25 NCAC IE .0706 

OFFICE OF ADMINISTRATIVE HEARINGS 



26 



NCAC 2B .0103 



Amended 

Amended 

Amended 

Adopted 

Adopted 

Amended 

Adopted 



Adopted 



Amended 



944 



NORTH CAROLINA REGISTER 



NC AC INDEX 



TITLE/MAJOR DIVISIONS OF THE NORTH CAROLINA ADMINISTRATIVE CODE 
TITLE DEPARTMENT 

1 Administration, Department of 

2 Agriculture, Department of 

3 Auditor, Department of State 

4 Commerce, Department of 

5 Corrections, Department of 

6 Council of State 

7 Cultural Resources, Department of 

8 Elections, State Board of 

9 Governor, Office of the 

10 Human Resources, Department of 

1 1 Insurance, Department of 

12 Justice, Department of 

13 labor, Department of 

14A Crime Control and Public Safety, Department of 

15 Natural Resources and Community Development, Department of 

16 Education, Department of 

17 Revenue, Department of 

18 Secretary of State, Department of 
19A Transportation, Department of 
20 Treasurer, Department of State 

♦21 Occupational Licensing Boards 

22 Administrative Procedures 

23 Community Colleges, Department of 

24 Housing Finance Agency 

25 State Personnel, Office of 

26 Administrative Hearings, Office of 

NOTE: Title 21 contains the chapters of the various occupational licensing boards. 
CHAPTER LICENSING BOARDS 

2 Architecture, Board of 

4 Auctioneers, Commission for 

6 Barber Examiners, Board of 

8 Certified Public Accountant Examiners, Board of 

10 Chiropractic Examiners, Board of 

12 Contractors, Licensing Board for 

14 Cosmetic Art Examiners, Board of 

16 Dental Examiners, Board of 

18 Electrical Contractors, Board of Examiners of 

20 Eoresters, Board of Registration for 

21 Geologists, Board of 

22 I tearing Aid Dealers and Fitters Board 
26 Landscape Architects, Licensing Board of 

28 Landscape Contractors, Registration Board of 

31 Martial and Family Therapy Certification Board 

32 Medical Examiners, Board of 

33 Midwifery Joint Committee 

34 Mortuary Science, Board of 

36 Nursing, Board of 

37 Nursing Home Administrators, Board of 

38 Occupational Therapists, Board of 
40 Opticians, Board of 

42 Optometry, Board of Examiners in 



NOR TH CAROLINA REGIS TER 945 



NC AC INDEX 



44 Osteopathic Examination and Registration, Board of 

46 Pharmacy, Board of 

48 Physical Therapy, Examining Committee of 

5U Plumbing and Heating Contractors, Board of 

52 Podiatry Examiners, Board of 

53 Practicing Counselors, Board of 

54 Practicing Psychologists, Board of 

56 Professional Engineers and Land Surveyors, Board of 

58 Real Estate Commission 

60 Refrigeration Examiners. Board of 

62 Sanitarian Examiners, Board of 

63 Social Work, Certification Board for 

64 Speech and Language Pathologists and 

Audiologists, Board of Examiners of 

66 Veterinary Medical Board 



946 NOR TH CAROLINA REGIS TER 



CUMULA TIVE INDEX 



CUMULA TIVE INDEX 

(April 1987 - March 1988) 



1987- 1988 



Pages 



1-137 1 - April 

138-169 2 - May 

170-198 3 - June 

199-285 4 - July 

286-364 5 - August 

365-417 6 - September 

418-487 7 - October 

488-544 8 - November 

545-643 9 - December 

644-818 10 - January 

819-950 11 - February 



AO - Administrative Order 

AG - Attorney General's Opinions 

C - Correction 

E - Errata 

EO - Executive Order 

FDL - Final Decision Letters 

FR - Final Rule 

GS - General Statute 

JO - Judicial Orders or Decision 

LRA - List of Rules Affected 

M - Miscellaneous 

NP - Notice of Petitions 

PR - Proposed Rule 

SO - Statements of Organization 

TR - Temporary Rule 

ADMINISTRATION 

Auxiliary Services, 203 PR 

Departmental Rules, 429 PR 

N.C. Low-Level Radioactive Waste Management Authority, 825 PR 

Property and Construction, 388 PR 

Purchase and Contract, 651 PR 

State Construction, 388 PR 

State Employees Combined Campaign, 13 PR, 334 PR 

ADMINISTRATIVE HEARINGS 

Hearings Division, 408 PR 

AGRICULTURE 

Food and Drug Protection Division, 204 PR, 429 PR, 652 PR 
Markets, 206 PR, 658 PR 
N. C. State Fair, 205 PR 
Pesticide Board, 13 PR, 662 PR 



NORTH CAROLINA REGISTER 



947 



CUMULA TIVE INDEX 



Plant Industry, 658 PR 

Standards Division, 206 PR, 657 PR 

Structural Pest Control, 205 PR, 393 PR, 492 PR 

Veterinary, 209 PR, 660 PR 

COMMERCE 

ABC Commission, 663 PR 
Cemetery Commission, 429 PR, 664 PR 
Credit Union Division, 334 PR 
Departmental Rules, 14 PR, 143 PR, 551 PR 
Savings and Loan Division, 147 PR 
Seafood Industrial Park Authority, 430 PR 

COMMUNITY COLLEGES 

Community Colleges, 270 PR, 91 1 PR 

CORRECTION 

Division of Prisons, 105 FR, 190 FR, 275 FR, 924 FR 
Parole Commission, 106 FR 

CRIME CONTROL AND PUBLIC SAFETY 

Alcohol Law Enforcement, 745 PR 
Governor's Crime Commission, 565 PR 
State Highway Patrol, 159 PR, 745 PR 
Victim and Justice Services, 342 PR, 570 PR 

EXECUTIVE ORDERS 

Fxecutive Orders 



34 - 


42, 1 


EO 


43 - 


46, 138 


FO 


47 - 


49, 171 


FO 




50, 199 


EO 


51 - 


53, 288 


EO 




54, 384 


EO 


55 - 


56,418 


EO 




57, 545 


EO 


58 - 


62,644 


EO 


63 - 


66,819 


EO 



FINAL DECISION LETTERS 

Voting Rights Act, 10 EDL, 141 FDL, 200 EDL, 291 EDL, 385 FDL, 489 EDL, 547 FDL, 647 EDL, 
822 EDL 

GENERAL STATUTES 

Chapter 7A, 382 GS 
Chapter 143B, 286 GS 
Chapter 150B, 366 GS 

GOVERNOR 

State Budget and Management, 828 PR 

HUMAN RESOURCES 

AEDC, 156 PR, 691 PR 

Children's Services, 689 PR 

Commission of Anatomy, 441 PR 

Departmental Rules, 492 PR 

Drug Commission, 530 FR, 924 FR 

Facility Services, 174 PR, 211 PR, 393 PR, 665 PR, 841 PR 

Eamilv Services, 152 PR 

Health: Epidemiology, 694 PR 



948 NOR TH CAROLINA REGIS TER 



CUMULA TIVE INDEX 



Health Services, 237 PR, 432 PR, 494 PR, 696 PR 
Individual and Family Support, 153 PR 

Medical Assistance, 149 PR, 174 PR, 248 PR, 339 PR, 396 PR, 443 PR, 506 PR 
Medical Services, 711 PR, 876 PR 
Mental Health, Mental Retardation 

and Substance Abuse, 15 PR, 247 PR, 337 PR, 442 PR, 557 PR, 874 PR 
Notice, 170 C, 488 C 

Social Services Commission, 397 PR, 686 PR 
State/County Special Assistance, 690 PR 
Vocational Rehabilitation Services, 559 PR 
Youth Services, 712 PR 

INDEPENDENT AGENCIES 

Housing Finance, 355 PR 

INSURANCE 

Life Accident and Health Division, 17 PR 
Special Services Division, 564 PR 

JUDICIAL ORDERS 

Martin v. Mclott, 420 JO 

JUSTICE 

Education and Training Standards, 19 PR 

N.C. Alarm Systems, 341 PR 

Private Protective Services, 249 PR, 712 PR 

Sheriffs' Education and Training Standards Commission, 714 PR 

LICENSING BOARDS 

CPA, 269 PR, 351 PR, 516 PR, 766 PR 

Chiropractic Examiners, 178 PR 

Cosmetic Art Examiners, 593 PR 

Dental Examiners, 461 PR 

Electrical Contractors, 612 PR 

General Contractors, 906 PR 

Geologists, 524 PR 

Hearing Aid Dealers and Fitters, 769 PR 

Medical Examiners, 95 PR, 403 PR, 613 PR 

Mortuary Science, 404 PR, 910 PR 

Nursing, Board of, 627 PR 

Nursing Home Administrators, 182 PR 

Opticians, 404 PR 

Pharmacy, 786 PR 

Physical Therapy Examiners, 792 PR 

Practicing Psychologists, 795 PR 

Real Estate, 352 PR 

Refrigeration Examiners, 526 PR 

LIST OF RULES AFFECTED 

Volume 12, No. 1 
(April 1, 1987), 131 ERA 
Volume 12, No. 2 
(May 1, 1987), 163 LRA 
Volume 12, No. 3 
(June 1, 1987), 193 LRA 
Volume 12, No. 4 
(July 1, 1987), 277 LRA 
Volume 12, No. 5 
(August 1, 1987), 358 LRA 



NOR TH CA ROLINA REGIS TER 949 



CUMULATIVE INDEX 



Volume 12, No. 6 
(September 1, 1987), 411 IRA 
October 1, 1987, 479 LRA 
November 1, 1987, 537 LRA 
December 1, 1987, 634 LRA 
January 1, 1988, 939 LRA 
February 1. 1988, 942 LRA 

NATURAL RESOURCES AM) COMMUNITY DE\ ELOPMENT 

Coastal Management, 94 PR, 160 PR, 259 PR, 347 PR, 365 C, 401 PR, 445 PR, 510 PR, 573 PR 
Community Assistance, 511 PR, 758 PR 
Economic Opportunity, 161 PR, 765 PR 

Environmental Management, 29 PR, 249 PR, 346 PR, 506 PR, 572 PR, 746 PR, 
876 PR 

Marine Fisheries, 84 PR, 255 PR 
Wildlife Resources and Water Safety, 175 PR, 268 PR, 446 PR, 575 PR 

PUBLIC EDUCATION 

Elementary and Secondary, 348 PR 

REVENUE 

Corporate Income Franchise Tax, 470 FR, 632 FR 

Departmental Rules, 806 F'R 

Individual Income Tax. 107 FR, 806 FR 

Intangible Tax, 930 FR 

Motor Fuels Tax, 108 FR 

Sales and Use Tax, 924 FR 

SECRETARY OF STATE 

Securities Division, 931 FR 

STATE PERSONNEL 

Employee Benefits, 183 PR, 408 PR 

Office of State Personnel, 96 PR, 465 PR, 801 PR 

STATE TREASURER 

Departmental Rules, 161 PR 

Educational Facilities Finance Agency, 349 PR, 475 FR 

Investment Program, 177 PR 

STATEMENTS OF ORGANIZATION 

Statements of Organization, 295 SO 

TRANSPORTATION 

Division of Highways, 410 F'R, 471 FR, 936 FR 
Motor Vehicles, 109 FR, 632 FR, 937 FR 



950 NOR TH CAROLINA REGIS TER 



NOW AVAILABLE 



NORTH CAROLINA ADMINISTRATIVE CODE 

The full publication consists of 52 volumes, totaling in excess of / 5,000 pages. It is supplemented monthly 
with replacement pages. A one year subscription to the full publication including supplements can be 
purchased for seven hundred and fifty dollars ($750.00). Individual volumes may also be purchased with 
supplement service. Renewal subscriptions for supplements to the initial publication available starting Oc- 
tober 1988. 

PRICE LIST FOR THE 1987-88 SUBSCRIPTION YEAR 



Volume 


Title 


Chapter 


Subject 


New 
Subscription* 


Total 
Quantity Price 


1 - 52 


Full Code 

1 

2 
2 

3 

4 

4 

5 

5 

6 

7 

X 

9 

10 

10 

10 

10 
10 
10 

10 
10 
10 
10 
10 
10 
10 
10 
10 
10 

11 


1 - 36 
1 - 24 
25- 52 
1 - 4 
1 - 2 
3 - 16 
1 - 2 
3 - 4 
1 - 4 
1 - 11 
1 - 8 
1 - 4 
1 -2 
3A- 3K 
3L- 3R 

3S- 3U 
4- 6 

7 

8 - 9 

10 

11-14 

15- 17 

18 

19-30 

31 - 33 

34-41 

42 

43 - 50 

1 - 15 


All titles $750.00 
Administration 90.00 
Agriculture 75.00 
Agriculture 75.00 
Auditor 10.00 
Commerce (includes ABC) 45.00 
Commerce 90.00 
Corrections 60.00 
Corrections 30.00 
Council of State 

Cultural Resources 60.00 
Elections 10.00 
Governor 45.00 
Human Resources 30.00 
Human Resources 90.00 
Human Resources 

(includes CON) 45.00 
Human Resources 30.00 
Human Resources 30.00 
Human Resources 

(includes Breathalizer) 30.00 
Human Resources 60.00 
Human Resources 90.00 
Human Resources 60.00 
Human Resources 45.00 
Human Resources 75.00 
Human Resources 90.00 
Human Resources 30.00 
Human Resources 60.00 
Human Resources 45.00 
Human Resources 90.00 
Insurance 90.00 




1 




2 




3 




4 




5 




6 




7 




8 




9 




10 




11 




12 




13 




14 




15 




16 




17 




18 




19 




20 




21 




22 




23 




24 




25 




26 




27 




28 






Continued 



Volume Title 







New 


Chapter 


Subject 


Subscription* 


1 - 12 


Justice 


90.00 


1 - 6 


labor 


30.00 


7 


OSHA 


45.00 


8- 15 


Labor 


45.00 


1 - 11 


Crime Control and 






Public Safety 


45.00 


1 - 2 


NRCD (includes EMC) 


90.00 


3- 6 


NRCD 


45.00 


7 


Coastal Management 


45.00 


8 - 9 


NRCD 


30.00 


10 


Wildlife 


45.00 


11-22 


NRCD 


60.00 


1 - 6 


Education 


30.00 


1 - 6 


Revenue 


75.00 


7-11 


Revenue 


60.00 


1 - 7 


Secretary of State 


30.00 


1 - 6 


Transportation 


90.00 


1 - 9 


Treasurer 


45.00 


1 - 16 


I icensing Boards 


75.00 


17 - 37 


Licensing Boards 


75.00 


38 - 70 


Licensing Boards 




l . i 


Administrative Procedures 


75.00 


1 . 5 


Community Colleges 


10.00 




Housing Finance 


10.00 




State Personnel 


60.00 


1 - 4 


Administrative I learings 


10.00 



Quantity 



Total 
Price 



29 


12 


30 


13 


H 


13 


32 


13 


33 


14A 


34 


15 


35 


15 


36 


15 


37 


15 


38 


15 


39 


15 


40 


If, 


41 


17 


42 


17 


4( 


18 


44 


19 


4^ 


20 


46 


21 


4" 


21 


48 


21 




22 


49 


23 


50 


24 


51 


25 


52 


26 



Total 



(Make checks payable to OJfice of Administrative Hearings.) 

This price includes the title in its current form plus supplementation for the subscription year. 
Subscription years are October I through September 30. 



MAIL TO: 



OFFICE OE ADMINISTRATIVE HEARINGS 

POST OFFICE DRAWER 11666 

RALEIGH, NORTH CAROLINA 27604 



W&Ll bui|ojb3 qyoN 'm8i3|b>i 

9991 J J3MBJQ O d 

sSuueaH SAijBJjsiuiuipv jo aaijJO 



H 
IS 
Id 



FOLD HERE 



NORTH CAROLINA REGISTER 
ORDER FORM 



Please enter my subscription for the North Carolina Register to start with the issue 

($95.00)/year subscription) 

Renew North Carolina Register 

Check Enclosed D Please bill me 

se make checks payable to Office of Administrative Hearings 

IE ADDRESS 

STATE ZIP 



NE. 



irn to Office of Administrative Hearings - fold at line, staple at bottom and affix postage.) 



CHANGE OF ADDRESS: 



I. Present Address 



NAME 



ADDRESS 



CITY 



STATE 



ZIP 



2. New Address 



NAME 



ADDRESS 



CITY 



STATE 



ZIP 



Office of Administrative Hearing 

P. O. Drawer 11666 
Raleigh, North Carolina 27604 



FIRST CLASS 












-0- 

y .; iTER 



786 

UNIV. OF KORTH CAROLINA 
LAW LIBRARY 

VAN HECKE-UETTACH OS- 
CHAPEL HILL NC 27514-00000